A bank owned by government, other than the central bank, and performing the same functions as a commercial bank. State banks are often directed by their governments to provide credit to activities or persons favored by the government.
Bank organized under a state, rather than a federal, charter.
A bank authorized in a specific state by a state-based charter, with generally the same functions as a national bank.
a bank chartered by a state rather than by the federal government
In the United States, a bank that operates under a charter granted by a state regulatory agency and is subject to regulation and supervision by state regulators.
A state bank is generally a bank that is owned by a state. It differs from a reserve bank in that it does not necessarily control monetary policy (indeed, the state in question may have no legal capacity to create monetary policy), but instead usually offers retail and commercial services.