The Role of Regional Banks

Regional banks play a crucial role in the U.S. banking system by balancing lending activities and risk management. Unlike larger money center banks, regional banks like PNC have the ability to cultivate long-term relationships with local businesses, enabling them to understand and assess risk better. This relationship-focused approach benefits both the banks and businesses, as evident from PNC's support of companies like Perriman Company, which has flourished with the bank’s backing. The existence of high-quality partnerships contributes to a more stable economy by providing essential credit to local enterprises.