Small Steps Point Minnesota Forward
Gov. Mark Dayton’s announcement in late October that Minnesota will deposit more state funds in community banks should lead to more investment in local entrepreneurs and community economic development.
That’s an assumption, at least. The big multi-national banks are sitting on huge deposits of money from around the world. The stash isn’t being recycled through our or other nations’ economies via loans to entrepreneurs or existing companies that might expand.
That’s what makes community bankers so different. While they may worry about developments in Greece and other countries, they are more worried about what is happening or not happening in their own communities.
What Governor Dayton ordered was that from $100 million to $200 million of state funds be deposited in community banks. This, in turn, could lead to making up to $200 million in new investment funds available to Minnesota entrepreneurs.
This decision followed a meeting with business and banking groups that the governor called the Governor’s Jobs Summit. It is a promising start for a turnaround in Minnesota.