Aid Will Impact Health, Economic Concerns
March 18, 2020
JPMorgan Chase today announced a $50 million global philanthropic commitment to address the immediate public health and long-term economic challenges from the COVID-19 global pandemic.
Funds will support communities and people hit hardest by this public health crisis through an initial $15 million commitment, including:
The remaining $35 million will be deployed over time to help the most vulnerable communities and people recover from the crisis and have an opportunity to benefit from future economic growth. The firm will lean into its core areas of expertise including financial health, jobs and skills, small business growth and neighborhood development and apply lessons learned from initiatives like AdvancingCities.
“We are mobilizing the firm’s resources to support customers, employees and communities – especially the most vulnerable – in this time of crisis,” said Peter Scher, head of corporate responsibility and chairman of the Mid-Atlantic region. “We are making immediate investments to help those most affected by humanitarian challenges and looking into sustainable and innovative solutions to help small businesses and under-served communities recover when the crisis subsides.”
The firm is also matching employee donations to these COVID-19 relief efforts dollar-for-dollar. Employees have an opportunity to contribute to the COVID-19 Solidarity Response Fund supporting the World Health Organization, Feeding America’s COVID-19 Response Fund, GlobalGiving Foundation’s COVID-19 European Response Fund, or the China Foundation for Poverty Alleviation.
JPMorgan Chase Institute research shows that 50 percent of small businesses have less than 15 cash buffer days, meaning the small business economy could be majorly disrupted by the current climate. The firm will promptly deploy $8 million, including $5 million in the U.S. and $3 million in international markets to support vulnerable and underserved small businesses in the following ways:
• Helping Black, Hispanic and Asian Pacific Islander owned businesses that may struggle to access capital and keep their doors open. This includes entrepreneurs that have participated in the firm’s Entrepreneurs of Color Fund and Ascend in places such as Seattle, California and New York. Support will include working with local Community Development Financial Institutions that will provide low or zero interest loans and interest rate buydowns to help offset the costs of business slow-downs and unexpected challenges, as well as technical assistance support for issues like remote working capabilities;
• Supporting vulnerable, underserved and underrepresented entrepreneurs and small businesses across Europe and China to navigate and access available and emerging financial and non-financial support.
The firm will also provide $2 million to existing nonprofit partners who are facing new challenges supporting vulnerable populations in response to COVID-19. The funds will go towards helping these partners maintain operational capacity as they adjust their programming and provide resources to support their remote working capabilities, resiliency planning, fundraising and communications.
Read more about the JPMorgan Chase commitment.
Digital technology drives three major banking industry trends: digital transformation, brand specialization and partnerships.