As part of its acquisition of People’s United Bank, Buffalo-based M&T Bank has created a five-year community growth plan that will provide $43 billion in loans, investments and other financial support to communities within its footprint.

The plan was created in partnership with the National Community Reinvestment Coalition (NCRC) and will go into effect shortly after closing on the acquisition of Connecticut-based People’s United, M&T said in a statement yesterday. The merger has received regulatory approval from New York and Connecticut bank regulators, and the banks are waiting for approval from the Federal Reserve.

M&T said the community growth plan would create economic opportunities for low- and moderate-income (LMI) families and neighborhoods, as well as for people and communities of color.

The investments will cover communities M&T currently serves and the regions it will expand into through the acquisition, including Massachusetts. The bank said it would work with local organizations to make impactful investments.

The plan includes $23 billion in loans for home purchases, home equity and small businesses. It also includes another $20 billion for community development initiatives and affordable housing.

“At its core, M&T is a bank with a deep commitment to serve our communities and make a difference in people’s lives,” Rene Jones, M&T Bank chairman and CEO, said in the statement. “We are also committed to taking action to help address inequities that have existed for years. This plan is another step in our journey to orient ourselves around what our communities need most.”

Members of M&T’s leadership team began meeting in March with the NCRC and its member organizations, the bank said, to identify needs and consider how M&T can help bring capital to historically underserved communities. M&T said it would continue to work with the NCRC and its members, other community groups and public officials to address these existing and emerging needs in the future.

“We appreciate M&T Bank’s initiative and dialog with NCRC members to develop a community growth plan that makes significant contributions to increased investments, lending and access to affordable homes in low-to-moderate income and communities of color in its existing footprint and anticipated new markets,” NCRC CEO Jesse Van Tol said in the statement. “M&T’s plan provides a unique opportunity to help improve the lives of people living and working in historically disadvantaged communities.”

M&T’s plan includes:

• $11.95 billion in community development activities, including the Low-Income Housing Tax Credit, New Market Tax Credit and Small Business Investment Company programs.
• $8.8 billion in home purchase lending for LMI households and communities, minority households and majority-minority communities, as well as $7 billion in the development of multi-family, affordable and workforce housing.
• $10.5 billion targeting programs and products that benefit businesses in LMI and minority communities. M&T said it would also develop and implement programs that increase access to education, resources and capital for minority- and women-owned small businesses and start-up entrepreneurs.
• A new financial education initiative, an expansion of M&T’s Bank On certified checking account and secured credit card, and an investment in its growing multicultural banking program.
• Designating as many as 115 branches in its expanded footprint as multicultural banking centers.
• Enhancing customers’ access to its services in rural and urban areas where financial institutions have limited presence.

Other initiatives include providing a framework to increase business opportunities for diverse suppliers, community development focused philanthropy, investments supporting renewable energy and other programs totaling approximately $5 billion.

“Development of our community growth plan has benefited from our collaboration with Jesse and his team at NCRC,” Jones said. “Jesse’s leadership has helped to galvanize a plan that we believe will benefit communities we serve throughout our footprint as well as in communities we hope to serve.”