Move Your Money to the New Economy

In recent years we've seen enormous energy from movements working to divest the money of individuals, institutions, municipalities, pension, funds, and more out of the extractive economy of Wall St. banks, private prison corporations, and the fossil fuel industry, and reinvest those funds into the New Economy.

NEC believes in divestment and reinvestment as powerful strategies for change and offers the following guide as a starting point in thinking about moving funds to support an economy that puts people and planet first.

Banking Alternatives: Unlike Wall St. banks, which work to maximize profits for shareholders at the expense of communities and the environment, Community Development Credit Unions, as well as many other progressive credit unions, CDFIs, and community banks, offer a local alternative rooted in the well-being of their communities. Here are some places to learn more about values-aligned banking alternatives.

Invest In the New Economy: Within NEC’s membership there are dozens of amazing organizations that can help you put your savings or investments to use in building the New Economy. Here are just a few.

Reinvest in Our Power: Reinvest In Our Power is an emerging national network of reinvestment campaigns and grassroots organizations, that are working together to freeze dirty investments, move the money, and resource community-led solutions at the frontlines. Through a financial cooperative of regional loan funds, governed by the grassroots organizations, this project shifts both capital and decision-making out of corporate control, and puts it in service of people and the planet. Sachie, NEC staff organizer, serves as project coordinator for the network. Anchor organizations include The Working World, The Climate Justice Alliance, Movement Generation: Justice and Ecology Project, The Fund for Democratic Communities, and New Economy Coalition.

Public Banking: Did you know that most government agencies, States, and municipalities invest their funds with Wall St. banks? Yuck! Luckily there’s a growing movement to create state and city-owned banks that put public funds to use in service of the public good. Two NEC members who have been leading the charge on public banking are CommonomicsUSA and the Public Banking Institute.

Join The Movement: There is a long history of social movements using divestment campaigns as a strategy to undermine extractive and violent industries, when other pathways to change have been blocked. From South African apartheid, to present-day fights against prisons and pipelines, withdrawing money is a potent political tactic to build our movements for justice. Here are some of the organizations who are using divestment-reinvestment as a tool for transformative change.