How did banks appear in Europe?

Banking has a very ancient history. In the 7th century BC. e. there were usurers in the lands of Babylonia. They gave money at interest and had a bank note of the time, which was worth equal to gold. In Europe, the functions of banks were held by ancient Greek meals (individuals) and temples. Later, private bankers appeared in the Roman Empire.

In the Middle Ages, money changers became widespread in Italy. They exchanged money from one city for coins from another city. In those days, every city in Italy had its own army and minted coins. It is to these money changers that we owe the origin of the word bank. This translates to table or counter. The money changers were called bankers. Bankers were often persecuted by the Catholic Church, but this church used their services in case of financial difficulties. The governments of many countries expelled bankers from their lands, but for money they were allowed to return and continue their activities. Small banks have been known since 1463. They were in many cities in Italy. The first public bank was approved by the Senate of the Venetian Republic in 1584 and became a state monopoly. In addition, partnerships are known that gave loans to the government of the Genoese Republic as early as 1148. Banking appears in any state when the state reaches a certain level of development and money is used there. There will definitely be someone who has a lot of them. It can be an individual, a group of people, or a state.

At the moment, banking is one of the foundations of the economy of all developed countries.