Which U.S. institution became the nation’s first central bank when Congress chartered it in 1791?

The First Bank of the United States became the nation’s first central bank when Congress chartered it in 1791.

The bank was a central element of Treasury Secretary Alexander Hamilton’s financial program. Its purpose included helping the federal government manage debt, holding public funds, making loans, and supporting a more uniform national financial system.

The bank had a 20-year charter and was headquartered in Philadelphia. The federal government owned part of its stock, while private investors owned the remainder. Its charter became controversial because opponents questioned whether the Constitution authorized Congress to create such a corporation.

Congress declined to renew the charter when it expired in 1811. The Second Bank of the United States was later chartered in 1816, but it was a separate institution with a different charter and later political history.