MODULE 1

Origin and kinds of Banks

Unit and branch banking
Universal Banking
 HISTORY OF BANKING
• 18th century BC

In early civilizations a temple is considered the safest refuge;

it is a solid building, constantly attended, with a sacred
character which itself may deter thieves. In Egypt and
Mesopotamia gold is deposited in temples for safe-keeping.
But it lies idle there, while others in the trading community
or in government have desperate need of it. In Babylon at the
time of Hammurabi, in the 18th century BC, there are
records of loans made by the priests of the temple. The
concept of banking has arrived.
Greek and Roman financiers: from the 4th
century BC
• Banking activities in Greece are more varied and
sophisticated than in any previous society. Private
entrepreneurs, as well as temples and public bodies, started
undertaking financial transactions. They take deposits,
make loans, change money from one currency to another
and test coins for weight and purity.