A small Amish bank in the heart of Pennsylvania’s Dutch country may be a sign of a recovering banking industry.
Bank of Bird-in-Hand, backed by Amish investors, is the first new bank in the United States in nearly three years. The bank has raised $17 million in capital and received regulatory approval to open, FT reported Sunday.
The country’s bank population has been shrinking since the start of the financial crisis—from 8,533 in 2007 to 6,891—amid stricter regulations and low interest rates that have made lending less profitable.
Bank of Bird-in-Hand, which will loan to farmers and small business owners and provide consumer banking services, will be the first new U.S. bank since late 2010.