Hagatna, Guam, Aug 17, 2011 -- USDA Rural Development Hawaii State Director Chris Kanazawa announced that Coast 360 Federal Credit Union has recently been approved to participate in Rural Development Business & Industry (B&I) Guaranteed Loan Program.
The purpose of the B&I Guaranteed Loan Program is to improve, develop, or finance business, industry, and employment, and improve the economic and environmental climate in rural communities. This purpose is achieved by bolstering the existing private credit structure through the guarantee of quality loans which will provide lasting community benefits. Commercial loans made by Coast 360 Federal Credit Union to eligible businesses may qualify for up to a 90% guarantee from RD.
"The Obama Administration is working on a regional basis to build networks of strong, self-sustaining rural communities," Kanazawa said. "Our partnership with Coast 360 Federal Credit Union will provide expanded access to capital for businesses in Guam by financing their various needs while saving and creating job opportunities."
Joseph Diego, Area Director for the Area II Office in Guam, stated that over the last five years, USDA approved 17 B&I Guaranteed Loans for a total loan amount of $31.2 million. These loans were made for purposes that include construction, debt refinancing, real estate acquisition, real estate improvements, machinery and equipment, and working capital.
"In general, these businesses would not have been able to obtain commercial loans through our lending network without the USDA B&I Guarantee being made available," according to Diego. "Our partnership with Coast 360 Federal Credit Union will expand our network of approved lenders on Guam. More importantly, businesses now have another option to address their various business needs through a locally chartered lending institution."
USDA, through its Rural Development mission area, administers and manages housing, business and community infrastructure and facility programs through a national network of state and local offices. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America. Rural Development has an existing portfolio of more than $150 billion in loans and loan guarantees. Visit http://www.rurdev.usda.gov for additional information about the agency's programs, or to locate the USDA Rural Development office nearest you.
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