Banca per l'Africa Orientale explained
Italian: '''Banca per l’Africa Orientale''' (BAO) was an early attempt to establish modern banking in the Horn of Africa at a time when Eritrea and Italian Somaliland were Italian colonies. It closed in 1923.
History
During early WW1, the Italian government wanted the creation of a local bank in the Italian colonies of eastern Africa. It was the first tentative to create a modern banking system in all colonial Africa. In 1914 the central "Bank of Italy" started to operate in Asmara and promoted the creation of private banks — like the "BAO" — in the Italian colonies. The Italian: [[Banca Italiana di Sconto]] (BIS) was a leading Italian bank that indirectly supported the BAO, but BSI failed in 1921, leading to the failure of the BAO a few years later.
- 1917 -BIS promoted the formation of the Banca per l’Africa Orientale as a joint stock company in Rome.
- 1918 - BAO commenced operations with head office in Massawa and a branch in Mogadishu that was the first bank in Somalia.
- 1923 - BAO was liquidated following problems at the bank and the failure of Italian: Banca Italiana di Sconto.
In late 1923 the Banca per l'Africa Orientale was officially closed.[1]
Notes
- http://ideas.repec.org/p/mil/wpdepa/2003-28.html Arnaldo Mauri, Eritrea's early stages in monetary and banking development, Università degli Studi di Milano, Dipartimento di Economia, Management e Metodi quantitativi, WP n. 28, 2003
Bibliography
- Falchero, Maria. La Banca Italiana di Sconto, 1914-1921. Sette anni di guerra Franco Angeli. Milano, 1990
- Mauri, Arnaldo (1998), "The First Monetary and Banking Experiences in Eritrea". African Review of Money, Finance and Banking, n. 1-2: pp. 67-84.
See also
