Citi & Corporation for Enterprise Development Announce Initiative to Bolster Household Economic Security in U.S. Cities
NEW YORK, October 8, 2013 /3BL Media/ – Citi today announced an initiative to expand the Corporation for Enterprise Development’s (CFED) state-level Assets & Opportunity Scorecard to cities nationwide. With the support of a $1 million Citi commitment, CFED will launch the Household Economic Security Project to equip municipal policy makers, civic leaders and private sector stakeholders with the city-level data and tools they need to assess and build the financial security of local households. To demonstrate how household financial security metrics should inform smart economic policymaking and programs, Citi and CFED proposes to work with partners in 10 U.S. cities to receive in-depth research, analysis and guidance on transforming data into action.
“The strength of our economy is largely dependent on the vitality of our cities and the ability of urban households to build and safeguard their finances,” said Citi CEO Michael Corbat. “The Household Economic Security Project will create a platform for cities, businesses, and community groups to share data and work to improve the financial stability of their fellow citizens. This initiative aligns perfectly with Citi’s commitment to connecting low- and moderate-income individuals to programs that can improve their lives and strengthen the communities we serve.”
The impetus for this national program was the widely shared citywide Assets & Opportunity Profile prepared for Dallas, Texas, by CFED with wide scale input from philanthropic, government and civic leaders. The Profile provides a broad analysis of the financial security of Dallas households by focusing on unique metrics like asset poverty, or the percentage of households that would fall below the poverty line within three months if they lost income and had to live off of savings, investments or other assets. The report found that four in ten Dallas residents, when faced with a lack of steady income, are vulnerable to major financial distress and lack the resources to withstand unforeseen setbacks.
“With support from Citi, CFED and Communities Foundation of Texas, Dallas is developing the resources we need to jumpstart widespread economic security for our citizens, and we’re already seeing results,” Dallas Mayor Mike Rawlings said. “I’m pleased that Citi and CFED recognize these benefits and are scaling the initiative nationwide.”
The Household Economic Security Project will build on existing metrics for measuring household financial health, including income, educational levels, and homeownership, and will also develop additional non-traditional data points to further contextualize the challenges and opportunities. For the first time, cities will also be able to calculate the economic impact of improving household financial security.
“Strong and credible data is the fundamental cornerstone of intelligent policymaking, and the Household Economic Security Project is designed to empower decision makers with powerful tools to improve financial access and asset-building opportunities,” said CFED President Andrea Levere. “The evidence from Dallas and from our years of work at the state level proves that putting data directly in the hands of decision makers and advocates drives new kinds of cross-sector collaboration that can lead to new policies, strategies and other interventions that deliver tangible improvements to household economic security.”
In addition to developing a web-based platform of city-level economic data, the Household Economic Security Project will focus on deeper studies in Boston, Chicago, Houston, Los Angeles, Miami, Philadelphia, New York, Oakland, Sacramento, Washington, DC and an update of the Dallas profile. The program will support and complement efforts by the Cities for Financial Empowerment Fund and the Assets and Opportunity Network to develop policy and programs to improve financial security in low-income communities. The initiative will also be a catalyst for discussions around economic opportunity next June when Mayor Rawlings welcomes the U.S. Conference of Mayors to Dallas for its 2014 Annual Meeting, for which Citi is the title sponsor.
The Household Economic Security Project builds on Citi’s strategic focus on urbanization as a key driver of economic activity. Through its Citi for Cities initiative, Citi partners with governments and businesses to address local urban priorities around infrastructure modernization, economic development, job creation, and sustainability. Through the work of Citi Community Development, Citi engages with community groups and municipalities to frame economic and community development needs, and jointly design and support initiatives that connect underserved groups to the financial mainstream.
About Citi
Citi, the leading global bank, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.
Additional information may be found at www.citigroup.com | Twitter: @Citi | YouTube: www.youtube.com/citi | Blog: http://blog.citigroup.com | Facebook: www.facebook.com/citi | LinkedIn: www.linkedin.com/company/citi
About the Corporation for Enterprise Development
CFED’s mission is to empower low- and moderate-income households to build and preserve assets by advancing policies and programs that help them achieve the American Dream, including buying a home, pursuing higher education, starting a business and saving for the future. As a leading source for data about household financial security and policy solutions, CFED understands what families need to succeed. We promote programs on the ground and invest in social enterprises that create pathways to financial security and opportunity for millions of people.
Established in 1979 as the Corporation for Enterprise Development, CFED works nationally and internationally through its offices in Washington, DC; Durham, North Carolina; and San Francisco, California.
