Washington, D.C. — October 3, 2025 — The National Bankers Association (NBA) today released its annual State of Minority Depository Institutions (MDI) Report at its national conference, highlighting the essential role MDIs play in expanding economic opportunity for underserved communities nationwide.
The report shows that the nation’s 152 MDIs collectively hold $381 billion in assets across 1,500 branches, reaching more than 25 million people—7% of the U.S. population—who live in zip codes with an MDI present
“Minority Depository Institutions are mission-driven banks that strengthen Main Streets across America,” said Nicole Elam, President & CEO of the National Bankers Association. “This year’s report reaffirms what we’ve always known: MDIs provide not just access to capital, but also economic resiliency and opportunity for communities too often left behind by mainstream finance.”
Key Findings from the 2025 Report:
Sector scale: 153 MDIs serve communities across 42 states with a median size of $475 million in assets and four branches each.
Financial health: MDI performance remains broadly on par with other community banks, despite headwinds from high interest rates, rising delinquencies, and economic uncertainty.
Community impact: Communities with an MDI present have better credit health than similar areas without one, including lower inquiries for payday and pawnshop loans.
Lending activity: In 2024, 15 MDIs analyzed originated more than $2.6 billion in loans, with nearly two-thirds of loans for small-dollar consumer needs and 71% of loan volume directed to real estate and development.
Leadership perspectives: While most bank leaders began 2025 confident in the economy, optimism has since cooled amid national policy shifts. Still, nearly 80% of MDIs plan to grow into the next asset band, prioritizing sustainable expansion and technology investments
The report also underscores the sector’s workforce and social impact, finding that MDI employees generate outsized economic value for their communities and that MDIs serve as anchors of financial inclusion, innovation, and resilience.
Looking Ahead
The NBA calls on policymakers, investors, and philanthropic partners to strengthen MDIs through targeted support, including:
Placing low-cost, long-term deposits with MDIs to bolster lending power.
Leveraging mission-driven investments to attract private sector capital.
Providing technology and AI support to modernize operations and reduce costs.
Connecting tax credits and incentives to MDI projects in underserved communities.
“The state of MDIs remains strong,” said Elam. “With the right investments and partnerships, MDIs will continue fueling small business growth, expanding homeownership, and ensuring economic mobility in every community we serve.”
About the National Bankers Association
Founded in 1927, the National Bankers Association (NBA) is the premier trade association representing the nation’s mission-driven banks. NBA’s mission is to strengthen mission-driven banks through advocacy, research, partnerships, and innovation—ensuring that financial services are accessible, affordable, and inclusive for all.
For more information and to access the full 2025 State of MDI Report, click here.