Banks are on pace this year to merge at a level not seen since the 2008 financial crisis.

It is a sharp turnaround from last year when the economy spiralled and many regional and community banks put merger plans on the shelf. Now, bank executives are feeling more certain about what the future holds, but some are finding it hard to make it on their own. Though the economy has in many ways recovered from 2020, loan demand is still low and profits from lending are slim.