Public banking refers to financial institutions that are owned and operated by government entities, such as state or local governments. These banks aim to serve the public interest by providing affordable banking services, supporting local economies, and funding community projects. Unlike private banks, which prioritize profit, public banks focus on the needs of their communities. One well-known example of public banking is the Bank of North Dakota, established in 1919. This bank helps finance education, infrastructure, and small businesses within the state. Public banking can promote economic stability and reduce reliance on private financial institutions, fostering a more equitable financial system.