Public banks: Reimagining the role of government in finance, creating visions for reparative public goods

Public banking presents a possibility for cities and municipalities to act affirmatively, in favor of their residents. As lending and depository institutions owned and managed by municipal, city, state, tribal, and federal governments, public banks adhere to public purpose mandates and invest profits back into communities. In the United States, a groundswell of interest in public banking emerged out of Dakota Access Pipeline and Occupy Wall Street protests that critiqued an exploitative private financial industry. Today, coalitions in 35 cities and states are creating visions for public banks that reimagine the role of government in finance and shift balances of power toward people instead of wealthy private interests. From Los Angeles and Seattle to New York City, coalitions are pursuing public banks to build affordable housing, finance infrastructure projects, expand living wage jobs and economic opportunity, and divest from fossil fuels. As cities and municipalities respond to economic and political pressures that constrain local budgets, public banking presents an opportunity to deliver reparative public goods for their residents.