Executive Summary
The racial wealth divide in America tells a troubling story: in 2021,Black families saved $75 billion less annually than white families1, illustrating not just an income disparity but a generational cycle of financial exclusion. Such disparities are a persistent shadow over the promise of the American Dream across communities of color, impacting everything from homeownership to entrepreneurship.
In response, Filene and its partners launched the Racial Economic Equity (REE) Incubator in 2023. This initiative was designed to empower credit unions in developing and implementing customized, community- driven solutions aimed at reducing economic inequity among Black/ African American, Hispanic/Latino, Indigenous American, Native
Hawaiian, and Pacific Islander populations.
The incubator was structured in three phases: Co-Design, Launch, and Share Learnings. The Co-Design phase involved collaboration with community stakeholders to create tailored solutions, which were then implemented in the Launch phase with Filene’s support. The Share Learnings phase aimed to evaluate outcomes and expand successful strategies.
Credit Union Implications
If you’re a credit union leader or community stakeholder passionate about advancing racial economic equity, here’s how you can contribute:
- Learn from the EE Incubator: Stay tuned for insights from this initiative, to be published early 2025. Engaging with these resources will enhance your ability to support
local entrepreneurs and nurture a collaborative ecosystem. - Implement Inclusive Practices: Apply insights from the REE incubator to develop financial programs tailored to the needs of underserved populations, ensuring they receive necessary support.
- Engage with Community Partners: Build strong relationships with local organizations to create a more integrated support system for entrepreneurs.
- Leverage CEI Institute Resources: Engage with the CEI Institute to explore how you can participate in the next cohort of impact-driven credit unions through a future
iteration of the REE initiative. Alternatively, reach out to explore opportunities to gain important expertise and support to help your credit union advance equity initiatives directly within your own community.
To learn more about this amazing program and how 6,400+ individuals were positively impacted and to explore ways for enhancing Racial Economic Equity in your community, download the full report.
Filene would like to thank all the REE participants for their support and contributions in making this incubator possible.
