The nation’s main banking system consists of 12 Reserve banks and the Federal Reserve Board of Governors. Those banks and governors consist of a banking group that is responsible for supervising financial institutions, providing financial services to the U.S. governments and all banks in the U.S., and conducting the monetary policy for this country. This Federal Reserve is also made up of community development departments that ensure the United States remains a healthy and strong economy.

These community development banks in the Federal Reserve work to ensure there is good economic growth and financial stability in the United States, and this is especially true for citizens with low-income. Community Development Banks also help promote economic growth by bringing together nonprofits, financial institutions, public officials, the private sector, government agencies, practitioners, and researchers so that they can figure out what challenges the low-income communities in this country face and what they can do to create economic growth in these communities.

The community development banks also use their special roles to ensure low-income communities have fair access to credit and financial institutions. For those reasons, some consider community development banks a group that beautifies neighborhoods and promotes affordable housing, while others may consider these community banks to be groups that promote small business development and job creation.

The truth is that community development banks are made up of all these things. However, what makes these beneficial banking groups stand out is the involvement of community members, the great attention to the needs of the people who live in these communities, the self-help concept of these groups, and the way the community development banks view each community as a group of people with goals and ideas for growth. 

The community development banks are sure to use an approach that is based on the community, with members becoming very involved in the exact changes that will make their community better in the present and the future. This probably has to do with new trends in community development banks, such as the fact that their funding source no longer comes primarily from government sources but from private contributors as well, which leads to more possibilities for improvement.