A Lifeline For Native And Rural Communities Is Under Threat. Here's Why That Matters.

Forbes

04-04-2025

For generations, Native and rural communities have faced systemic financial barriers that make homeownership, entrepreneurship, and economic growth extraordinarily difficult. In places where mainstream banks have refused to invest, Native Community Development Financial Institutions (Native CDFIs) have stepped in - offering capital, trust, and culturally grounded support to families and small businesses otherwise left behind. But today, this vital lifeline is under threat - and the consequences could reverberate for generations
From a Dream to Reality: The Power of CDFI Funding
In Hulbert, Oklahoma, a rural town rich in cultural heritage, Zach and Rachel Weeks are building something powerful. Zach, a citizen of the Peoria Tribe, and Rachel, Otoe-Missouria, founded Z&W Trucking with a deep sense of purpose and connection to community.
Inspired by his grandfather, Zach originally trained as a welder but was drawn to
trucking during long road trips with Rachel and their sons. In 2017, they took a leap of faith and bought their first truck. Starting out wasn't easy - freight was inconsistent, and traditional banks refused to take a chance on their small operation.
That changed when they found Local Bank Hulbert, a Native- and woman-led CDFI. Terry Lockhart, a lender who saw their potential, invited Zach in. That meeting shifted the course of their lives.
"I think we were too small for other banks," Zach said. "But Local Bank saw something in us. I haven't let them down, and they haven't let me down."
With Local Bank's support, Z&W Trucking has grown to eight trucks and a team of drivers. Even as insurance and fuel prices rise, they've stayed afloat-anchored by a financial partner that sees them as more than numbers.
"Many banks operate at such a corporate level that I feel like I don't matter," Zach said. 'But Local Bank treats my problems like they matter and always works to find solutions.'
Zach and Rachel's story is just one example of what Native CDFIs make possible. With support from organizations like Oweesta, these institutions are building stronger, more resilient Native economies - one family, one business, and one community at a time
A Critical Safety Net is at Risk
Despite their impact, Native CDFIs now face an uncertain future. Federal funding cuts threaten the CDFI Fund - a key source of capital for Native and rural communities. And it's not just one program on the chopping block. Other cuts to housing, small business support, and community development are on the table too.
Mainstream banks have long avoided Native and rural areas, often labeling them 'too risky' or 'unprofitable.' In many Tribal communities, no banks exist at all—leaving families vulnerable to predatory lenders that trap them in cycles of debt. Without Native CDFIs to fill the gap, communities will be left with nowhere to turn.
Chrystel Cornelius, CEO of Oweesta Corporation, puts it clearly: 'Native CDFIs are more than financial institutions—they are lifelines for Tribal communities. Without them, critical infrastructure projects, like clean water and wastewater systems, would remain out of reach. Cutting federal funding would deepen existing disparities and leave Native nations without the resources needed to build healthy, sustainable futures."
Farah Amad, President of the Partners for Rural Transformation (PRT), echoes the
Farah Ahmed, PRT President
urgency: 'The CDFI Fund is a transformative force for rural America, allowing CDFIs to multiply public dollars eight times over in private sector investment. From the Mississippi Delta to Native lands, Appalachia to the Rio Grande Valley, CDFIs are unlocking access to capital, creating affordable housing, supporting small businesses, and delivering essential services. Protecting the CDFI Fund isn't just about rural equity—it's a commitment to a stronger, more inclusive national economy."
Why This Matters and Why We Must Act
This is about more than funding. Native and rural CDFIs are not just lenders—they are trusted community partners, cultural stewards, and engines of generational change. They help families stay on their lands, entrepreneurs grow their visions, and communities build futures on their own terms.
To protect this vital work, we must act-together.
Native and rural communities have always fought for economic sovereignty. And while they will continue to rise and lead, they shouldn't have to face these battles alone. The fight to preserve Native CDFIs is a fight for fairness, for equity, and for a future where all communities - no matter how remote - have the tools to thrive.
Will we let this lifeline slip away - or will we rise to meet this moment, and stand alongside Native and rural communities in their fight for equity, visibility, and a future rooted in justice?