HISTORY OF BANKING IN THE PHILIPPINES

August 31, 2021

BABF201 Banking and Financial Institutions
Ateneo de Naga University
SPANISH ERA

The capital of the

Institution came from
Pious Catholics and
Its funds were loaned
with interest.

It ceased its operation

in 1820 and was totally non existent by 1851.
GALLEON TRADE

The reason why the first financial institution was organized.

RODRIGUEZ BANK

-Founded by London-based Filipino Quaker Francisco

Rodriguez in Manila in 1830

- It was more of a loan

Association than a
modern bank.
BRITISH ORIENT BANK

- Because of the opening of this bank, the Philippine- European

trade expanded following
the opening of the
SUEZ CANAL.
BANCO ESPANOL- FILIPINAS DE ISABEL II

- It was established in 1851, it was the first state bank.

- It was renamed Bank of the Philippine Islands in 1912.
THE HONGKONG AND SHANGHAI BANKING
CORPORATION(HSBC)

- Established its branch

in Manila on 1872

- It was more on in the

category of exchange
bank rather than the
commercial that
they are today.
MONTE DE PIEDAD
- First mutual savings bank
established in 1882.

- It is a bank and a
Pawnshop.

- Original name in
Spanish is Monte de
Piedad y Caja de
Ahorros.
FIRST BANK ISSUED NOTES BY BPI

PESO FUERTE
-the first fuerte was
minted on May 1, 1852
with Mexican face value
in gold or silver.
POSTAL SAVINGS BANK ( Overseas Filipino Bank)

- The bank was created as part and parcel of the Bureau of

posts
to inculcate the habit of thrift especially to the low income
groups.
PHILIPPINE NATIONAL BANK (PNB)

- First agricultural bank established in 1916

- It was engaged in extending short- term notes to merchants
and long-term loans to agriculture and industry.
- It was granted the privilege to issue its own notes
- It was reorganized in 1934, from 20Mn capital to 10Mn.
BANGKO SENTRAL NG PILIPINAS

- Established in 1949 thru Central Bank Act of 265

- In 1948 the General Banking Act was passed into law. It
provided the definitive rules of conduct for all banking
institutions as to organization, management and operation.