According to the CSBS survey, state-registered banks were the main distributors of PPP loans.

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A new study by the Conference of State Banking Supervisors (CSBS) found that government-registered banks were the primary distributors of Wage Protection Program (PPP) charitable foundations to the public.

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In his analysisCSBS collated recently available loan-level PPP data with lender demographics, providing a first assessment of how different types of lenders created small business PPP loans.

“This analysis allows us to match the numbers with what we’ve heard from our supervised institutions about the strong relationships they maintain with their local citizens,” said Texas Banking Commissioner Charles Cooper, who leads the CSBS Covid-19 Recovery Steering Group. “This is further proof that government-registered banks are critical to their communities in times of economic stress. Without them, the success of the PPP program would have been impossible. ”

In particular, the analysis showed that state-registered banks provided 51 percent of all PPP financing in dollar terms and 42 percent of total PPP loans in quantitative terms. In addition, state-owned banks retained more than 50 percent of the 66-plus million jobs saved by the program. In addition, state-owned banks were the dominant force in rural PPP lending, providing 65 percent of all dollar-denominated PPP financing to rural small businesses. Finally, state-owned banks provided 50 percent of all dollar-denominated PPP financing in low and moderate income areas.

CSBS is the national organization of banking regulators from all 50 states, American Samoa, the District of Columbia, Guam, Puerto Rico, and the US Virgin Islands.

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