Stronger Economy Through Immigrant Financing
They often face significant barriers when it comes to obtaining financing and loans. Providing financial support to immigrants can have a significant positive impact on both the individual and the national economy. Immigrants in the U.S. deserve financing and loans to reach their American dreams, too.
Financial Contributions of Immigrants
Immigrants in the U.S. make significant contributions to the country's economy. According to a report by the National Immigration Forum, immigrants in the U.S. are responsible for starting 25% of all new businesses, and they are more likely to start businesses than U.S. -born Americans. In addition to this, immigrants pay billions of dollars in taxes each year and make up a significant portion of the country's workforce.
Despite these contributions, immigrants often face significant financial challenges when it comes to obtaining financing and loans. Many immigrants do not have the necessary credit history or collateral to secure loans from traditional lenders, and they may also face language barriers and discrimination when attempting to access financial services.
Providing financing to immigrant entrepreneurs alone can help them start and grow businesses, which can create jobs and stimulate economic growth in their communities. The Fiscal Policy Institute reported that immigrant-owned businesses in New York City generate $17 billion in income and support over 200,000 jobs. If we provided immigrants with financing alternatives for education, auto and home purchases, savings and retirement, and even healthcare, for example, there could be an influx of business for banks and these industries.
How Immigrant Investments Benefit the U.S. Economy
Offering finance options would also help immigrants achieve financial stability and independence, which can have significant positive impacts on their families and overall communities. This can address systemic inequality and lack of growth amongst underserved neighborhoods across states.
A study by the National Bureau of Economic Research found that providing loans to undocumented immigrants in Georgia led to an increase in economic activity and job creation in low-income neighborhoods.
Investing in immigrants is ethically fair and economically smart. Immigrants make significant contributions to the economy and providing them with financial support can help them achieve financial stability and independence, create jobs, and stimulate economic growth.
By addressing the barriers that prevent immigrants from accessing financing and loans, we can build a more inclusive and prosperous economy for everyone.
