The Ford Foundation has announced a $10 million investment in Appalachian Community Capital (ACC) in support of small business loans to spur job creation and economic growth in the 13-state Appalachian region.

The commitment to the community development financial institution (CDFI) is expected to attract additional capital from the private sector that will enable financing for 400 small businesses and 1,000 new jobs. The new round of financing for ACC follows investments in 2015 totaling $15 million by Ford, Bank of America, Calvert Foundation, Deutsche Bank, Appalachian Regional Commission (ARC), and other regional partners. Since 2015, ACC has deployed $26 million in leveraged debt and $5.5 million in grants, financing 110 small businesses, and helping to generate or sustain more than 2,000 jobs, nearly half of which are filled by people with low incomes.

The latest funds will be used to expand access to capital for small business in underinvested regions, including coal-dependent areas, where capital is needed to foster economic development and job creation and improve economic mobility. According to ARC, median household incomes in Appalachia are only 82 percent of the national average.

“Unequal access to financial resources that results in a lesser quality of life and little chance for economic advancement is a plague in our country whether it affects rural Appalachia or urban areas,” said Ford Foundation director of mission investments Roy Swan. “Appalachian Community Capital is upending this trajectory in rural America, and we’re proud to support ACC’s critical work to improve economic opportunity and advance a more equitable future for its residents.”

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