The history of banking traces back to ancient temples that safeguarded wealth and facilitated early financial transactions. Over time, taxation and trade in ancient economies led to the development of banking practices. The Middle Ages and Renaissance saw significant banking innovations, with Italian city-states and merchant families like the Medici playing pivotal roles. These periods introduced credit, insurance, and double-entry bookkeeping, laying the foundation for modern banking.
Show More
Temples provided a secure location for the storage of wealth for affluent individuals and governmental entities
Lending Money
Temples were involved in early forms of financial transactions, such as lending money backed by their assets
Taxation
Temples played a role in taxation systems, collecting taxes for funding military campaigns and public infrastructure
The combination of religious and financial functions within temples laid the groundwork for the development of banking principles
Italian city-states like Genoa, Venice, and Florence were thriving centers of commerce and refined banking techniques such as credit, interest, insurance, and promissory notes
The Renaissance further advanced banking with the establishment of financial centers and influential banking dynasties, such as the Medici family
The Crusades led to the advancement of banking techniques, including the use of credit and partnerships among merchants to finance trade and military expeditions
The Renaissance period saw the expansion of banking centers throughout Europe, with cities like Florence, Venice, Genoa, and Nuremberg becoming prominent
The Medici family established the Medici Bank, which played a significant role in the banking industry and allowed them to gain political power
Some of Europe's oldest banks were founded during this time, employing the latest financial innovations of the era
The 18th century saw the introduction of government-backed securities and the beginnings of modern banking features such as checks and overdrafts
Post-World War II developments included mortgage lending and the establishment of international financial institutions
The early 21st century has been marked by the advent of online banking, reflecting the ongoing innovation and adaptation of the banking sector to meet the demands of a dynamic global economy
00
Temples not only stored wealth but also engaged in ______ money, contributing to the foundation of ______ principles.
lending
banking
01
Purpose of ancient taxation
Funded military campaigns and public infrastructure in Greece and Rome.
02
Types of taxes in ancient economies
Included duties on imports and property taxes for specific projects.
