Wakefield-based The Savings Bank has qualified and been selected to participate in the Small Business Banking Partnership recently announced by state Treasurer Steven Grossman.

The new initiative was created to promote small business loans with $100 million in the commonwealth’s reserve funds invested into qualifying Massachusetts community banks with strong records of small business lending practices, according to a statement. The primary objectives of the partnership are to obtain competitive interest rates on the commonwealth’s deposits while promoting small business growth in Massachusetts.

The Savings Bank has received $2 million in state deposits to make new loans to credit-worthy businesses to help expand and create new jobs in area communities.

"This is a wonderful opportunity to stimulate small business growth," said The Savings Bank Senior Vice President Lawrence D. Andrews. "The Savings Bank will have additional opportunities and resources to provide loans to qualified small businesses; small business owners will have greater access to funds to help them grow; and the commonwealth will be lending its support to small businesses in all regions of the state."