New York Mayor Zohran Mamdani and Comptroller Mark Levine announced a $20 million deposit in Ponce Bank would be available to strengthen community banking and expand opportunities for Upper Manhattan and the Bronx.
The city said it will deposit $10 million into each of Ponce Bank’s branches increasing the bank’s lending power to help more New Yorkers buy homes, start small businesses and build long-term financial stability. Momdani and Levine said the bank’s Inwood branch has been designated as part of the New York Banking Development District (BDD) program, along with the bank’s Bronx branch. The designation allows the branch to receive public deposits that support lending and expand access to financial services for local residents and businesses.
“Our administration is putting public resources to work for working people. For too long, too many neighborhoods have been denied the investment they deserve,” Mamdani. “By depositing $20 million in a trusted community bank, we’re expanding access to capital for small businesses, creating pathways to homeownership and building wealth in the communities that make New York the greatest city on earth. Government should invest directly in people and neighborhoods.”
The deposits were made through the New York City Banking Commission. The Commission administers the City’s participation in the state BDD Program.
“Limited access to reliable capital has been a major barrier for Upper Manhattan and the South Bronx residents for decades, something I and many have seen firsthand and worked hard to change,” Levine said. “This partnership with Mayor Mamdani will clear even more barriers to economic empowerment through vital funding levers. Through the Banking Development District program, New York City is directing public deposits into mission-driven lenders, and with it the communities they serve, to expand their ability to provide access to credit and banking services.”