Charter schools from around the country will soon be the beneficiaries of more funding thanks to a generous donation from one of the nations largest banks.
JPMorgan Chase announced recently that it was starting a $325 million initiative to support high-level U.S. charter schools that may be struggling due to the credit situation. The bank will give $50 million in grants to community development financial institutions that are concerned with funding charter schools.
"Many charter schools have expanded access to academic opportunities for students in all types of communities, so we shouldn’t let tough economic times bring them down," said JPMorgan Chase Chairman and CEO Jamie Dimon. "Improving educational opportunities is a cornerstone of JPMorgan Chase’s philanthropic giving."
The first CDFI partners include The Reinvestment Fund of Philadelphia, The Low Income Investment Fund of San Francisco, and NCB Capital Impact of Arlington, Virginia. Additional partners will be announced later in the year.
"The Low Income Investment Fund is proud to be one of the partners with JPMorgan Chase on this initiative. Through this financing initiative, JPMorgan Chase and LIIF will invest in exceptional educational opportunities for thousands of low-income students," said Nancy O. Andrews, president and CEO of LIIF.
JPMorgan said in a statement that it saw potential for improving childhood education and community development though charter schools and was committed to seeing them succeed. The bank supported educational institutions by providing almost $12 billion in financing in 2009.
JPMorgan, along with other banks that received money through the government’s Troubled Asset Relief Program, has seen its reputation suffer in recent years. By funding programs to help educational institutions, the bank is hoping to restore its image.