Changing Capital Markets And Their Implications For Community Development Finance
This article summarizes research from the Community Development Innovation and Infrastructure Initiative (CDIII), an 18-month project on the future of community development finance. CDIII asked two questions: where does the community development field need to be in order to have impact in the new economic and financial world, and how do we move the industry into this new position?
The fundamental conclusion of this research is that economic restructuring, the emergence of telecommunications and information technology, and other national and global trends have dramatically changed the environments in which community development takes place. Capital gaps have changed, capital itself is becoming less "localized," and the financial services industry has evolved entirely new ways to transact business and service customers.