Nothing is more crucial to our nation's economic future. Small business generates more than half of all jobs in America and more than half of the nation's gross domestic product. And nothing, therefore, is a higher priority for me personally and for the OCC than finding ways to stimulate bank lending to small business, especially minority small business. We know the need is there. All across the country, I've met and spoken to small business people who tell me that they cannot get the credit they need for start-up and expansion or can only get it on prohibitive terms.
Studies show that minority entrepreneurs have a particularly tough time of it.
We know that while African Americans make up about 12 percent of the general population, they own less than 4 percent of U.S. businesses. Something is clearly amiss. For the first time this fall, as the result of our CRA reforms, we will be getting information on small business loan originations from every large bank and thrift. When this policy change was being discussed, I argued that it was important to have numbers on the race and gender of small business borrowers to help us identify possible patterns of discrimination. But other financial regulatory agencies said no.