On-prem

SP2019 OnPrem - Howto enable missing new Document template

When I created my first teamsite in SharePoint 2019 on-prem, I was impressed with the new elegant design. However as soon as I opened the Document Library - I feel that something was amiss. Following screenshot is the Document library in SharePoint 2019 on-prem: I can no longer find “Document” template when I click on “New". In SharePoint 2019 on-prem its only showing “Folder” and “Link” under “New” button while in SharePoint online I can see Document templates and ‘+ Add template’ menu.