KeyBank’s Community Benefits Plan
KeyBank’s Community Benefits Plan was an investment commitment made by the company in order to help provide affordable housing through targeted investing and philanthropy. After launching the $16.5 billion five-year plan in 2017, the company recently announced that not only had the commitment already been surpassed, it was done a full year ahead of schedule.
The business already has invested over $18 billion, well over the original goal and in a much shorter period of time. Continuing the momentum, the company also announced that the Community Benefits Plan would be receiving a massive expansion.
KeyBank announced today that the business will be increasing its total financial commitment to the plan up to $40 billion. The expanded investment total will also allow for the company to open the scope of the Community Benefits Plan from simply just affordable housing, to economic inclusion and climate change as well.
Details of the Expanded Financial Commitment
KeyBank’s $40 billion investment will be focused mostly on economic inclusion and equity, with $36 billion of it being committed to similar low to moderate-income lending and focused philanthropy in order to create more affordable housing. This section has now been expanded to include hiring and career development practices along with the company increasing spending for diverse suppliers in order to promote economic inclusion. These suppliers will now include several minority-owned businesses. Additionally, the business will be developing financial literacy and education programs for low-income and minority individuals.
The final $4 billion that the business has committed will be put toward renewable energy and sustainability. This investment in environmental responsibility will not be a new focus of the business, with over $15 billion having been invested in sustainability since 2012.
In a statement released alongside the business announcement, chairman, CEO, and president of KeyBank, Chris Gorman, said, “Doing our part to address social justice and racial equity, increasing environmental concerns, and an international pandemic with disproportionate impact on low- and moderate-income communities is both an opportunity and an obligation. Creating shared value with the communities we serve means facing head on the issues we have long been working to address. These systemic issues must be addressed collectively – inside and outside our company - to drive the outcomes we want to create.”
About the Author
Tom Price is a writer focusing on Entertainment and Sports Features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.