Bank of America reported that it has loaned $19.4 billion to small and medium-sized businesses in the first quarter of 2010, nearly $3 billion more than during the same period a year ago.
The lender had earlier pledged to increase loans to those businesses by $5 billion in 2010.
In addition, the bank said it spent more than $1 billion in 2009 for products and services from about 33,000 small and medium-sized firms.
“We are making every good loan we can make,” said Brian T. Moynihan, the bank’s president and chief executive officer.
Bank of America loaned $81.4 billion to small and medium-sized businesses in 2009.
However, credit availability is not the biggest challenge facing BofA’s small business clients, said David Darnell, president of Global Commercial Banking
“What’s been most instructive to us, though, is the message from clients that access to credit is not the biggest issue they are facing,” Darnell said. “What they are telling us – and what other business organizations have confirmed – is that lagging demand for their products and services continues to be their greatest challenge.”
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