Michigan business loan program gets bank support

NOVI, Mich. (AP) — A program to make loan money more available to Michigan-based businesses is getting a boost from Fifth Third Bank, Gov. Rick Snyder announced Friday.

Snyder and an official with Cincinnati-based Fifth Third Bank say the bank has the capacity to make new loans totaling $2.5 billion to Michigan businesses in 2012. Word of the additional money was part of an update to the state’s Pure Michigan Business Connect program and brings the multi-year loan program’s capacity from $3 billion to $8 billion.

“It’s about Michigan’s comeback — it’s about job-creation,” Snyder said of the program, which launched about six months ago and involves about 700 state companies and organizations. He said program’s basic premise is “asking Michigan businesses to do business with one another.”

Snyder said the Fifth Third Bank’s 2012 participation is the largest commitment by a financial institution to date. David Girodat, president of Fifth Third Bank Eastern Michigan, said it means an additional $5 billion in access to loans, including another $2.5 billion available for consumers.

The program is a public-private initiative involving the Michigan Economic Development Corp., state agencies and major Michigan companies and organizations. The announcement was made in the Detroit suburb of Novi at the Global Access Exporter Forum.