Animosity towards followers of other faiths fuels many inter-group conflicts. In this paper, we study social behavior and parochialism of religious leaders. We directly elicit a rich set of in-group-out-group biases among pastors (N=200) and members of their churches (N=800) in Kenya, using controlled allocation tasks. On average, religious leaders treat out-group members less favorably. Importantly, we document remarkable heterogeneity across religious leaders: one type treats all recipients equally independently of their religious beliefs, while the second, parochial type severely discriminates against Muslims and non-religious individuals. In line with cultural transmission models, we find that: (i) pastors aim to instill their preferences in church members, (ii) participants follow behavior of pastors in an experiment, (iii) parochialism of church members is robustly linked to parochialism of their pastors and (iv) the preference link within churches as well as the susceptibility to follow pastor’s choices in the experiment are driven by members who attend church more often. Together, our findings suggest that differences in pro-sociality and parochialism of religious leaders spill over and create distinct communities with contrasting moral views how to treat out-group members.