History of banking in Malta: Difference between revisions
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1635: [[Massa Frumentaria]], a mediaeval grain fund established, while also serving as a precursor to an investment bank.<ref name=":0">{{Cite web |last=Debono |first=Jeremy |date=2015 |title=Treasury C: a re-discovered archive at the National library |url=https://www.academia.edu/50975534}}</ref> | 1635: [[Massa Frumentaria]], a mediaeval grain fund established, while also serving as a precursor to an investment bank.<ref name=":0">{{Cite web |last=Debono |first=Jeremy |date=2015 |title=Treasury C: a re-discovered archive at the National library |url=https://www.academia.edu/50975534}}</ref> | ||
'''1798–1800 (French occupation)''' | |||
The French seized all the assets of the Monte di Pietà and Massa Frumentaria.<ref name=":7">{{Cite web |last=Arthur |first=Bonnici |date=1969 |title=A Debt that was never settled. |url=https://www.um.edu.mt/library/oar/bitstream/123456789/36890/1/1.pdf}}</ref><ref>{{Cite journal |last=Savona-Ventura |first=Charles |date=1998 |title=Human suffering during the Maltese insurrection of 1798 |url=https://www.um.edu.mt/library/oar/handle/123456789/25127 |journal=Storja |language=en |issue=1998 |pages=48-65}}</ref> | |||
'''1800–1812 (British Protectorate)''' | '''1800–1812 (British Protectorate)''' | ||
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1 May 1812: Banco di Malta established, both precursors of [[Bank of Valletta]].<ref name=":11" /> | 1 May 1812: Banco di Malta established, both precursors of [[Bank of Valletta]].<ref name=":11" /> | ||
1812: Tagliaferro and Sons founded | 1812: Tagliaferro and Sons founded — the first private merchant bank.<ref name=":11" /> | ||
'''1813–1964 (British Colonial Period)''' | '''1813–1964 (British Colonial Period)''' | ||
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1882: Anglo–Egyptian Bank founded in Malta, precursor of [[HSBC Bank Malta|HSBC]].<ref name=":11" /> | 1882: Anglo–Egyptian Bank founded in Malta, precursor of [[HSBC Bank Malta|HSBC]].<ref name=":11" /> | ||
1910: The Unione Cattolica San Giuseppe founds the Bank of Apostleship of Prayer or Bank ta’ San Guzepp, a savings bank.<ref name=":12">{{Cite web |last=Borg |first=Darren |date=2022-01-25 |title=History of Banking and Banks in Malta |url=https://www.drwerner.com/en/history-of-banking-and-banks-in-malta/ |access-date=2025-04-01 |website=DW&P Dr. Werner & Partners |language=en}}</ref><ref name=":122">{{Cite web |last=Grima |first=Noel |date=2017-02-13 |title=The founder of APS Bank |url=https://www.independent.com.mt/articles/2017-02-13/books/The-founder-of-APS-Bank-6736170328 |access-date=2026-02-09 |website=The Malta Independent}}</ref><ref name=":22">{{Cite web |last=Bonello |first=Giovanni |date=2025-03-31 |title=In pictures: Early banking in Malta |url=https://timesofmalta.com/article/in-pictures-early-banking-malta.1107133 |access-date=2025-04-01 |website=Times of Malta |language=en-gb}}</ref> | |||
1925: Anglo–Egyptian Bank becomes part of Barclays Bank.<ref name=":11" /> | 1925: Anglo–Egyptian Bank becomes part of Barclays Bank.<ref name=":11" /> | ||
| Line 30: | Line 36: | ||
1949: Scicluna et fils affiliated with the NBM group, as did Tagliaferro and Sons two decades later.<ref name=":11" /> | 1949: Scicluna et fils affiliated with the NBM group, as did Tagliaferro and Sons two decades later.<ref name=":11" /> | ||
1963 Bank of Industry, Commerce and Agriculture (BICAL) established as a small commercial bank.<ref name=":116">{{Cite web |last=Jens Rudolf |first=Uwe |year=2018 |editor-last=Woronoff |editor-first=Jon |title=Historical Dictionary of Malta |url=https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html |access-date=2025-08-07 |website=dokumen.pub |publisher=Rowman & Littlefield |pages=38 |language=en |isbn=9781538119181 |lccn=2018027919 |edition=3rd}}</ref> | 1955: [[Lombard Bank]].<ref name=":22" /> | ||
1963: Bank of Industry, Commerce and Agriculture (BICAL) established as a small commercial bank.<ref name=":116">{{Cite web |last=Jens Rudolf |first=Uwe |year=2018 |editor-last=Woronoff |editor-first=Jon |title=Historical Dictionary of Malta |url=https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html |access-date=2025-08-07 |website=dokumen.pub |publisher=Rowman & Littlefield |pages=38 |language=en |isbn=9781538119181 |lccn=2018027919 |edition=3rd}}</ref> | |||
'''1964–2004 (Post-Independence Era)''' | '''1964–2004 (Post-Independence Era)''' | ||
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1975: Barclays Bank's Maltese subsidiary is nationalised and becomes Mid-Med Bank.<ref name=":11" /> | 1975: Barclays Bank's Maltese subsidiary is nationalised and becomes Mid-Med Bank.<ref name=":11" /> | ||
1990: The Bank of Apostleship of Prayer changed its name to [[APS Bank|APS Bank Ltd]] after being granted a commercial licence.<ref name=":3">{{Cite book |last=Rudolf |first=Uwe Jens |url=https://books.google.com/books?id=lmZwDwAAQBAJ |title=Historical Dictionary of Malta |date=2018-11-10 |publisher=Rowman & Littlefield |isbn=978-1-5381-1918-1 |pages=xxxiii, 36 |language=en}}</ref><ref name=":10">{{Cite web |last=Ripard |first=Joanna |date=2010-01-24 |title=APS Bank embarks on ethical international finance dimension |url=https://timesofmalta.com/article/aps-bank-embarks-on-ethical-international-finance-dimension.291014 |access-date=2026-02-09 |website=Times of Malta |language=en-gb}}</ref> | |||
1992: Bank of Valletta was the first public company to be listed on the [[Malta Stock Exchange]].<ref name=":116" /> | 1992: Bank of Valletta was the first public company to be listed on the [[Malta Stock Exchange]].<ref name=":116" /> | ||
1999: [[HSBC]] acquires Mid-Med Bank.<ref name=":11" /> | 1999: [[HSBC]] acquires Mid-Med Bank, which becomes [[HSBC Bank Malta|HSBC Malta]].<ref name=":11" /> | ||
23 July 2002: the Malta Financial Services Centre, governed by the [[Malta Financial Services Authority]], became the sole regulator of banking and other financial services.<ref name=":1" /><ref name=":117">{{Cite web |last=Jens Rudolf |first=Uwe |year=2018 |editor-last=Woronoff |editor-first=Jon |title=Historical Dictionary of Malta |url=https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html |access-date=2025-08-07 |website=dokumen.pub |publisher=Rowman & Littlefield |pages=109 |language=en |isbn=9781538119181 |lccn=2018027919 |edition=3rd}}</ref> | 23 July 2002: the Malta Financial Services Centre, governed by the [[Malta Financial Services Authority]], became the sole regulator of banking and other financial services.<ref name=":1" /><ref name=":117">{{Cite web |last=Jens Rudolf |first=Uwe |year=2018 |editor-last=Woronoff |editor-first=Jon |title=Historical Dictionary of Malta |url=https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html |access-date=2025-08-07 |website=dokumen.pub |publisher=Rowman & Littlefield |pages=109 |language=en |isbn=9781538119181 |lccn=2018027919 |edition=3rd}}</ref> | ||
1 October 2002 The [[Financial Intelligence Analysis Unit]] (FIAU) is established to combat money laundering and the funding of terrorism and to monitor compliance with relevant financial legislation.<ref name=":118">{{Cite web |last=Jens Rudolf |first=Uwe |year=2018 |editor-last=Woronoff |editor-first=Jon |title=Historical Dictionary of Malta |url=https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html |access-date=2025-08-07 |website=dokumen.pub |publisher=Rowman & Littlefield |pages=110 |language=en |isbn=9781538119181 |lccn=2018027919 |edition=3rd}}</ref> | 1 October 2002 The [[Financial Intelligence Analysis Unit]] (FIAU) is established to combat money laundering and the funding of terrorism and to monitor compliance with relevant financial legislation.<ref name=":118">{{Cite web |last=Jens Rudolf |first=Uwe |year=2018 |editor-last=Woronoff |editor-first=Jon |title=Historical Dictionary of Malta |url=https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html |access-date=2025-08-07 |website=dokumen.pub |publisher=Rowman & Littlefield |pages=110 |language=en |isbn=9781538119181 |lccn=2018027919 |edition=3rd}}</ref> | ||
'''2004–Present (post EU membership)''' | |||
2 May 2005: The Maltese lira enters the EU’s Exchange Rate Mechanism (ERM II).<ref name=":1" /><ref name=":113">{{Cite web |last=Jens Rudolf |first=Uwe |year=2018 |editor-last=Woronoff |editor-first=Jon |title=Historical Dictionary of Malta |url=https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html |access-date=2025-08-07 |website=dokumen.pub |publisher=Rowman & Littlefield |pages=xlv |language=en |isbn=9781538119181 |lccn=2018027919 |edition=3rd}}</ref> | 2 May 2005: The Maltese lira enters the EU’s Exchange Rate Mechanism (ERM II).<ref name=":1" /><ref name=":113">{{Cite web |last=Jens Rudolf |first=Uwe |year=2018 |editor-last=Woronoff |editor-first=Jon |title=Historical Dictionary of Malta |url=https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html |access-date=2025-08-07 |website=dokumen.pub |publisher=Rowman & Littlefield |pages=xlv |language=en |isbn=9781538119181 |lccn=2018027919 |edition=3rd}}</ref> | ||
Revision as of 20:37, 31 May 2026
Banking emerged in primitive form through deposit-taking and money-changing activities, with temples and merchants in Mesopotamia, Greece, and Rome receiving deposits, issuing loans, and facilitating currency exchange to support trade and agriculture. The Middle Ages and Renaissance saw the organisation and commercialisation of banking, particularly in Italian city-states such as Florence and Venice, where merchant banks developed innovations like bills of exchange and branch networks to finance long-distance trade. The early modern and industrial era witnessed the institutionalisation of banking with the creation of central banks and more structured credit systems, exemplified by institutions such as the Bank of Amsterdam and the Bank of England, as well as innovations like fractional reserve banking and increased lending to governments and industries. The present-day global banking landscape is defined by rigorous regulation, international integration, and technological advancement, with banks functioning transnationally, adjusting to financial upheavals, and progressively depending on digital platforms, fintech, and artificial intelligence for service delivery and risk management.[1] (See also History of banking)
The Maltese financial landscape was influenced by the various colonial powers that once ruled the islands and, later, by the country's post-independence economic development. Since its accession to the EU, the Maltese banking system has continued to evolve and assimilate into the broader European financial market.
Timeline
1530–1798 (Knights of St. John)
15 January 1598: Monte di Pietà was founded, providing low-interest loans against pawned items.[2]
1635: Massa Frumentaria, a mediaeval grain fund established, while also serving as a precursor to an investment bank.[3]
1798–1800 (French occupation)
The French seized all the assets of the Monte di Pietà and Massa Frumentaria.[4][5]
1800–1812 (British Protectorate)
23 June 1809: Anglo Maltese Bank — first Maltese formal bank.[6]
1 May 1812: Banco di Malta established, both precursors of Bank of Valletta.[6]
1812: Tagliaferro and Sons founded — the first private merchant bank.[6]
1813–1964 (British Colonial Period)
1830 Scicluna's et fils bank founded – another precursors of Bank of Valletta and the first bank to open branches (three in Valletta by 1890) and introduce cheques in Malta.[6]
1882: Anglo–Egyptian Bank founded in Malta, precursor of HSBC.[6]
1910: The Unione Cattolica San Giuseppe founds the Bank of Apostleship of Prayer or Bank ta’ San Guzepp, a savings bank.[7][8][9]
1925: Anglo–Egyptian Bank becomes part of Barclays Bank.[6]
1946: Anglo Maltese Bank and Banco di Malta merge to form the National Bank of Malta (NBM).[6]
1949: Scicluna et fils affiliated with the NBM group, as did Tagliaferro and Sons two decades later.[6]
1955: Lombard Bank.[9]
1963: Bank of Industry, Commerce and Agriculture (BICAL) established as a small commercial bank.[10]
1964–2004 (Post-Independence Era)
17 April 1968: Central Bank of Malta established.[11][12]
September 1969: the Central Bank of Malta released its first series of currency notes.[12]
1970: Central Bank of Malta established as Malta's banking regulator.[12]
May 1972: the Central Bank of Malta released its first series of coins, following decimalisation.[12]
November 1972: First major bank crisis in Malta following the fraudulent collapse of BICAL.[10]
6 December 1973: A run begins on the NBM with the Central Bank declining to provide assistance, seemingly under directives from Dom Mintoff.[6]
1974: Government takes over NBM without compensation to shareholders to set up Bank of Valletta.[6]
1975: Barclays Bank's Maltese subsidiary is nationalised and becomes Mid-Med Bank.[6]
1990: The Bank of Apostleship of Prayer changed its name to APS Bank Ltd after being granted a commercial licence.[13][14]
1992: Bank of Valletta was the first public company to be listed on the Malta Stock Exchange.[10]
1999: HSBC acquires Mid-Med Bank, which becomes HSBC Malta.[6]
23 July 2002: the Malta Financial Services Centre, governed by the Malta Financial Services Authority, became the sole regulator of banking and other financial services.[12][15]
1 October 2002 The Financial Intelligence Analysis Unit (FIAU) is established to combat money laundering and the funding of terrorism and to monitor compliance with relevant financial legislation.[16]
2004–Present (post EU membership)
2 May 2005: The Maltese lira enters the EU’s Exchange Rate Mechanism (ERM II).[12][17]
1 January 2008: Malta adopted the euro as its official currency. At the same time, the Central Bank of Malta joined the European System of Central Banks (ESCB) and became part of the European Central Bank (ECB).[12][18]
22 March 2018: Maltese banking officials seize control of the Pilatus bank in Malta after its owner, Ali Sadr Hasheminejad, is arrested in the United States.[19]
References
- ↑ Challoumis, Constantinos; Eriotis, Nikolaos (2025-01-14). "Evolution of banking systems: A comprehensive historical analysis". Journal of Contemporary Research in Business Economics and Finance (Learning Gate) 7 (1): 1-21. https://www.researchgate.net/publication/388055630_Evolution_of_banking_systems_A_comprehensive_historical_analysis.
- ↑ Denaro, Victor F. (1958). "Houses in Merchants Street, Valletta". Melita Historica 2 (3): 161–164. http://melitensiawth.com/incoming/Index/Melita%20Historica/MH.02(1956-59)/MH.2(1958)3/orig04.pdf.
- ↑ Debono, Jeremy (2015). "Treasury C: a re-discovered archive at the National library". https://www.academia.edu/50975534.
- ↑ Arthur, Bonnici (1969). "A Debt that was never settled.". https://www.um.edu.mt/library/oar/bitstream/123456789/36890/1/1.pdf.
- ↑ Savona-Ventura, Charles (1998). "Human suffering during the Maltese insurrection of 1798" (in en). Storja (1998): 48-65. https://www.um.edu.mt/library/oar/handle/123456789/25127.
- ↑ 6.00 6.01 6.02 6.03 6.04 6.05 6.06 6.07 6.08 6.09 6.10 6.11 Jens Rudolf, Uwe (2018). "Historical Dictionary of Malta" (in en). Rowman & Littlefield. xxxiii, 37. https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html.
- ↑ Borg, Darren (2022-01-25). "History of Banking and Banks in Malta" (in en). https://www.drwerner.com/en/history-of-banking-and-banks-in-malta/.
- ↑ Grima, Noel (2017-02-13). "The founder of APS Bank". https://www.independent.com.mt/articles/2017-02-13/books/The-founder-of-APS-Bank-6736170328.
- ↑ 9.0 9.1 Bonello, Giovanni (2025-03-31). "In pictures: Early banking in Malta" (in en-gb). https://timesofmalta.com/article/in-pictures-early-banking-malta.1107133.
- ↑ 10.0 10.1 10.2 Jens Rudolf, Uwe (2018). "Historical Dictionary of Malta" (in en). Rowman & Littlefield. 38. https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html.
- ↑ Jens Rudolf, Uwe (2018). "Historical Dictionary of Malta" (in en). Rowman & Littlefield. xxxviii. https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html.
- ↑ 12.0 12.1 12.2 12.3 12.4 12.5 12.6 "Our history - Central Bank of Malta". https://www.centralbankmalta.org/our-history.
- ↑ Rudolf, Uwe Jens (2018-11-10) (in en). Historical Dictionary of Malta. Rowman & Littlefield. pp. xxxiii, 36. ISBN 978-1-5381-1918-1. https://books.google.com/books?id=lmZwDwAAQBAJ.
- ↑ Ripard, Joanna (2010-01-24). "APS Bank embarks on ethical international finance dimension" (in en-gb). https://timesofmalta.com/article/aps-bank-embarks-on-ethical-international-finance-dimension.291014.
- ↑ Jens Rudolf, Uwe (2018). "Historical Dictionary of Malta" (in en). Rowman & Littlefield. 109. https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html.
- ↑ Jens Rudolf, Uwe (2018). "Historical Dictionary of Malta" (in en). Rowman & Littlefield. 110. https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html.
- ↑ Jens Rudolf, Uwe (2018). "Historical Dictionary of Malta" (in en). Rowman & Littlefield. xlv. https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html.
- ↑ Jens Rudolf, Uwe (2018). "Historical Dictionary of Malta" (in en). Rowman & Littlefield. xlviii, 36. https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html.
- ↑ Jens Rudolf, Uwe (2018). "Historical Dictionary of Malta" (in en). Rowman & Littlefield. liv. https://dokumen.pub/historical-dictionary-of-malta-153811917x-9781538119174.html.