May 22, 2011
NAC client the Delaware Nation of Oklahoma was featured prominently in a Financial Times article illustrating the lack of available funding to businesses located in Indian Country. In the article, titled "Lights go out for Native American Hopes," the FT describes the Delaware Nation's inability to secure financing for a tribally owned lighting manufacturing business created to increase employment opportunities for tribal members. Delaware Nation President Kerry Holton is quoted describing banks' unwillingness to lend into projects necessary for a functioning economy, and the uselessness of the tax-exempt bond allocation program. Kerry explains, “Banks won’t take any risk whatsoever with us. Unless you have twice as much in assets than what you are loaning, they are not interested”.
NAC Managing Director Gavin Clarkson provides insight on the affect the Obama administration's budget cuts will have on the Indian loan guarantee program. He illustrates the situation by stating that, “the irony is that the banks are now starting to make loans again but the damage has been done and the Obama administration’s proposed cuts will decimate the loan guarantee programme”. Clarkson highlights the reality that banks' failure to lend with guarantees in place demonstrates that Indian country was never given a real chance, despite programs superficially designed to do otherwise.
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