A Baby Bonds Program In Connecticut Aims To Close The Racial Wealth Gap

One state’s “Baby Bonds” program should be a model for the whole country.

by Dedrick Asante-Muhammad, LA Progressive

Juneteenth celebrates the end of chattel slavery in the United States. But over 150 years later, discriminatory public policies have prevented African Americans from closing the racial wealth divide in this country they helped build.

Policy created that divide — and policy can close it.

One state is showing how to move forward in advancing racial economic equality. This year, Connecticut is launching the country’s first “Baby Bond” program.

This program will invest $3,200 for every baby born into poverty in the state. The bonds are projected to grow to between $10,000 and $24,000 in value, depending on when they’re used.

When they reach an age between 18 and 30, these Connecticut residents will be able to use that money to start a small business, get a higher education or job training, or buy a home.