Bank_Polski

Bank Polski

Bank Polski

Former bank in Poland


The Bank Polski (lit.'Bank of Poland'), sometimes referred to as the "First Bank of Poland" to distinguish it from its 20th-century namesake,[1]:97 was a major bank in Congress Poland, created in 1828, deprived of its monetary role in 1870 following the failure of Poland's January Uprising, and eventually absorbed in 1885 by the State Bank of the Russian Empire.[2]

Former building of the Bank Polski in Warsaw

Overview

5-złoty coin issued during the November 1830 Uprising

The first Bank of Poland was founded in Warsaw by royal decree of 29 January 1828 on the initiative of Prince Franciszek Ksawery Drucki-Lubecki. An institution of the government of the Kingdom of Poland, it was entitled with issuance of the Polish currency as well as control over the credit rates. It was also entitled with a concession to operate foreign currencies and buy off credits issued by foreign companies and banks. Its initial activity was largely linked to the management of the Polish debt, including "old debt" inherited from the defunct Duchy of Warsaw.[2]:138

The Bank Polski was initially allowed to issue banknotes up to the amount of its stock (initially 30,000,000 złoty, 42 million in 1834 and 53 million in 1841). It also financed a number of important enterprises in the Russian sector of partitioned Poland. Between 1829 and 1837 it spent a large part of its income on road construction. Until 1842, it was also the main sponsor of the coal mining development in the Dąbrowa Basin and the Old-Polish Industrial Region around Skarżysko-Kamienna.

Following its support of the November Uprising in 1830-1831, the Bank Polski was deprived of its role as mint and no longer issued coins. In 1841, the Russian authorities started dismantling Poland's autonomous monetary system.[2]:141

After the January Uprising of 1863-1864, the Bank Polski definitely lost its independence and was made subordinate directly to the Russian Imperial Ministry of Treasury. In May 1870, it was deprived of the privilege of currency issuance and banned from giving long-term credits. It kept operating on a small scale as a commercial bank until 1885, when it was absorbed entirely by the State Bank of the Russian Empire.[2]:142-143

Building

The Bank Polski and Stock Exchange Building [pl] in Warsaw was erected in 1825-1828 on a design by Italian architect Antonio Corazzi, and became the seat of the bank as well as that of the Warsaw Stock Exchange. It was severely damaged during World War II, then reconstructed in 1950-1954 under supervision by architect Piotr Biegański [pl]. Since 1989, it has been the home of the Museum of John Paul II Collection, also known as the Porczyński Gallery.[3]

See also


References

  1. Krzysztof Łopuszyński (2018), "The Idea of Central Banking in the Final Years of the First Polish Republic", Roczniki Nauk Prawnych (XXVIII:3)
  2. Małgorzata Grzesik-Kulesza (April 2017), "The creation of the Bank of Poland in the years 1828–1885" (PDF), Przegląd Prawa Konstytucyjnego



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