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Vice President Kamala Harris announced a record $56 billion in loans from the Small Business Administration (SBA) to small businesses over the past year. This marks the highest number of loans in 16 years, with over 100,000 businesses receiving funding.
The SBA provides loans to help small businesses establish, grow, and recover. These loans are particularly crucial when traditional financing options are unavailable.
Harris emphasized the importance of small businesses to the economy, stating that they create jobs, drive innovation, and strengthen local economies.
The announcement comes amid concerns over the economy and inflation. Despite these concerns, the SBA’s record lending aims to dispel doubts about the Biden-Harris administration’s economic policies.
However, the SBA has faced criticism due to the recent exhaustion of funds in its disaster loan program after Hurricanes Helene and Milton. The National Federation of Independent Business reports high uncertainty among its members leading up to the election.
Last month, Harris proposed increasing the tax deduction for new small businesses from $5,000 to $50,000.