France: Credit Control and Formalization of Banking Supervision

Eiji Hotori (), Mikael Wendschlag () and Thibaud Giddey ()
Additional contact information
Eiji Hotori: Yokohama National University
Mikael Wendschlag: Uppsala University
Thibaud Giddey: University of Oxford

Chapter Chapter 8 in Formalization of Banking Supervision, 2022, pp 113-124 from Springer

Abstract: Abstract The banking supervision in France was formalized with the Banking Acts of 1941 and of 1945. In 1941, the Banking Control Commission as the supervisory agency was created, and rigid financial regulation such as a minimum capital requirement and a separation of banking types was introduced. In connection to the 1941 Act, the four largest commercial banks in France were also nationalized. However, with the German occupation and the wartime situation, the formalization of banking supervision was only completed with the Banking Act of 1945. The essential contents of the 1941 Act were upheld, but the supervisory agency was given a lot of measures to enforce bank regulation. Especially, authorization of rigid penalties enhanced effectiveness of supervisory activities. The main drivers of the formalization of banking supervision in France were the policy measures undertaken during the Vichy regime and the Liberation Government’s measures. In the post-Second World War era, the banking supervisory system was used mainly to enforce credit control policy actions, in a period of economic recovery and reconstruction. The banking act of January 1984 decompartmentalized the banking system and changed the institutions of supervision.

Date: 2022
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:spr:sprchp:978-981-16-6783-1_8

Ordering information: This item can be ordered from
http://www.springer.com/9789811667831

DOI: 10.1007/978-981-16-6783-1_8

Access Statistics for this chapter

More chapters in Springer Books from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().