The Paycheck Protection Program: Minority vs. Non-Minority Bank Response

We are the first to empirically analyze whether "Guidance on Accessing Capital for Minority, Underserved, Veteran and Women-Owned Business Concerns" (Guidance) program was successful. The implemented promote Paycheck Protection Program (PPP) loans provided by Minority Depository Institutions (MDIs) in second round compared of PPP. Using both loan-level data from Small Administration (SBA) balance-sheet-level Federal Deposit Insurance Corporation (FDIC), we obtain compelling empirical evidence indicating that MDIs issued relatively more PPP (scaled institution assets) than non-MDIs round. This finding is goal dedicated access under Guidance It also enhances understanding lending impact Reserve Liquidity Facility (PPPLF) terms role played MDIs.