Bali excels in many aspects of life, including the regulation of local financial institutions that integrate into the culture and local genius passed down through generations and rooted in the Adat village of Desa Pakraman. The local financial institution in Desa Pakraman operates as a general bank and has been recognized by the government. It is classified as a Community Credit Bank under Law No. 7 of 1992 on Banking and as amended by Law No. 10 of 1998 in Article 58. The results of this study have shown that the concept of a local bank, which emphasizes cultural values and local genius, represents an enrichment for the government that must be considered in its policies and regulations in order to grow, develop, and compete with modern banking. Furthermore, the specific characteristics differ from other regions or countries, making Bali with its village credit institution a learning place and pilot for national values and customs through the local financial organization.