Obama to refocus bailout on small businesses

By JULIE PACE and JIM KUHNHENN (Associated Press Writers)
From Associated Press
October 21, 2009 2:20 PM EDT

LANDOVER, Md. – President Barack Obama says the government’s $700 billion financial bailout is shifting away from Wall Street giants and toward small businesses on Main Street.

Obama said on Wednesday that he wants to help small businesses grow and is asking Congress to increase the loan amount they can receive from the Small Business Administration.

Obama also says if smaller banks describe how they would increase lending to small businesses, Washington will give those banks capital so they can loan more money. He says he wants to focus on hard-hit rural and underserved areas.

The president spoke at a small business in a Maryland suburb near Washington.

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