Public Banking -- it works for the United States. Healthy local economies, new jobs, and new revenue for local infrastructure and public priorities.

What's Happening in your State?

Find out by clicking here. There are people working in over 25 states on public banks on the city, county, and state levels.

Public Banks are ...

• Viable solutions to the present economic crises in US states.
• Counter-cyclical, meaning they are capable of reducing the negative impact of recessions, because they can make money available for local governments and businesses precisely when private banks decrease lending.
• Potentially available to any-sized government or community
able to meet the requirements for setting up a bank.
• Owned by the people of a state or community.
• Economically sustainable, because they operate transparently according to applicable banking regulations
• Able to offset pressures for tax increases with returned credit income to the community.
• Ready sources of affordable credit for local governments, eliminating the need for large “rainy day” funds.
• Required to promote the public interest, as defined in their
• Constitutional, as ruled by the U.S. Supreme Court

... and are not

• Operated by politicians; rather, they are run by professional
• Boondoggles for bank executives; rather, their employees are
salaried public servants (paid by the state, with a transparent pay structure) who would likely not earn bonuses, commissions or fees for generating loans.
• Speculative ventures that maximize profits in the short term,
without regard to the long-term interests of the public.

Did You Know ...?

Public banking was first introduced to the middle colonies in America by the Quakers in the original colony of Pennsylvania. Read about it on page 442 of Ben Franklin's memoirs. Other colonial governments also established publicly-owned banks. The concept was later embraced by the State of North Dakota, the only state to currently operate its own bank.

As of the spring of 2010, North Dakota was also the only state sporting a major budget surplus; it had the lowest unemployment and default rates in the country; and it had the most community banks per capita, suggesting that the presence of a state-owned bank has helped, not hurt, the local banks. More ...
NEW! Read and sign the Detroit Statement. Get ready for the Great Debate in Detroit on June 2nd.
...So easy, even a child can understand it! 14 year old internet sensation Victoria Grant explain why public banking is so important to our future.

Public Banking Institute offers new learning academy

As part of the renewed commitment at PBI to support local efforts to establish public banks, we are creating a learning academy to help everyone understand the benefits and challenges of public banks.

Our plan is to create a core curriculum of online courses at PBI, to make the Public Banking Institute one of the world’s first and best places to learn about the real history of the economy and money, to clarify the crucial role public banking has played and is playing in the US and around the world, to explore its potential in creating a more prosperous and sustainable civilization in the 21st century, and much more.

This strategy fulfills two mission critical goals of PBI: it educates widely about public banking and our new paradigm – and we expect that it will inspire local and regional actions to create public banks.


Public Funds at Risk in the Big Banks:

For more information, see: Legal Underpinnings -- The Legal Framework for Big Banks Puts Depositors at Risk
by Steve Seuser, Co-Director DC Public Banking Center

For a step-by-step guide to give to your local public official, click here.