CHICAGO – Governor J.B. Pritzker signed the Illinois Banking Development Districts Act into law on Friday. The legislation creates a new incentive program for the creation of bank branches in underserved communities. Banks and local governments in Illinois will jointly create a plan for a new banking development district in an area of need. The Illinois Department of Financial and Professional Regulation will evaluate these plans in consultation with the Illinois State Treasurer and approve plans that create consumer bank options in underserved areas. The number of bank branch closures has increased significantly since the onset of the pandemic. In 2021, one hundred fifty-three bank branch closures were in Illinois, mostly coming from large commercial banks.
