An innovative campaign to stop wealth flowing out of the locality has been launched by Smart Money Cymru Community Bank.
With the support of Blaenau Gwent County Council, the Bank is offering a new Community Investment Bond (CIB) to businesses, charities, societies, renewable energy funds and other organisations who are looking to invest their funds safely, ethically and with a good return.
The aim, explained Blaenau Gwent Councillor Jules Gardner, is to encourage local investment and keep wealth in the area putting it at the service of the community through fair and equitable banking.
“The purpose of this campaign is to offer local organisations a safe home for their investments and so, in turn, allow Smart Money Cymru to use that capital to lend to its members in Blaenau Gwent and other parts of South Wales boosting the economy and in turn improving living standards,” he said.
The Bond, which can be from £10,000 and up to £85,000, offers good returns over fixed terms, says the bank.
Over 70% of Smart Money’s current loans have been to people living in the most deprived areas of Wales, according to the Wales Index of Multiple Deprivation.
A detailed document, highlighting the benefits of the CIB, has been launched at the Tredegar offices of Smart Money Cymru. The Community Bank has six staffed offices in South Wales providing face to face banking to its 14,000 Members who benefit from its loans and savings products.
One of Councillor Gardner’s responsibilities is to lead the battle against poor living standards in the community and with this in mind he is an enthusiastic supporter of both Smart Money and its newly-launched Community Investment Bond.
“We feel it is very important that companies, charities and other organisations invest socially in the area. They don’t always realise that an investment in Smart Money is a safe, and mutually beneficial way to look after their funds,” he said.
The Council had a vital role in endorsing and supporting the initiative, he added.
“There are many new companies moving into Blaenau Gwent in the near future and creating jobs, and taking out a CIB is an excellent way of demonstrating commitment to the area while supporting the local economy.”
Chair of Smart Money Cymru Alun Taylor said he was delighted to launch the CIB initiative and was confident it would be popular with local organisations.
“We are keen to keep wealth working hard for people in the area and I am sure this message will resonate with those who control the finances of businesses, charities, local authorities and other organisations.”
The brochure promoting the CIB analyses in detail the range of social benefits resulting from the work of Community Banks.
“We are proud of our role and the ways in which our work supports community cohesion and this is explained in detail in the document.
“This means that an investor in a CIB is not only supporting their community, but can also be seen to be investing socially and ethically,” he added.
