Banking under Franco

Gabriel Tortella and José Luis García Ruiz

Chapter 8 in Spanish Money and Banking, 2013, pp 115-138 from Palgrave Macmillan

Abstract: Abstract The programme of the Popular Front, winner in the elections of February 1936, was not revolutionary in banking matters, because the liberal republicans in the coalition never accepted the state control of banks proposed by the working-class parties. In any case, the programme had little time to be applied as the Civil War broke out only months later, on 18 July. At that time, there were 2,013 banking offices in Spain (including head offices) of which 25 belonged to foreign banks. Only 35 per cent of the offices and 25 per cent of the employees were located in Franco’s ‘national zone’ from the beginning, because the coup was more successful in rural than in urban areas. The bankers were not in the plot (with the exception of Juan March, a controversial banker from Mallorca), but the ‘nationalists’ soon managed to gain their trust: in October 1936, the Republican government turned the CSB into an appendage of the Ministry of Finance, while in the ‘national’ zone the operations of a Comité Nacional de la Banca Privada (National Committee of the Private Banks, since 1938 called Comité Central de la Banca Española , the denomination of the prewar bankers’ association), were subject to close supervision, although the bankers were given ‘an acceptable margin for their initiative’ (Sánchez Asiaín, 2012, pp. 455–8).

Keywords: Interest Rate; Commercial Bank; Public Debt; Private Bank; Foreign Bank (search for similar items in EconPapers)
Date: 2013
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:pmschp:978-1-137-31713-1_8

Ordering information: This item can be ordered from
http://www.palgrave.com/9781137317131

DOI: 10.1057/9781137317131_8

Access Statistics for this chapter

More chapters in Palgrave Macmillan Studies in Banking and Financial Institutions from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().