History of Bank in Timeline

A bank is a financial institution crucial to the economy, primarily functioning by accepting deposits from the public and creating demand deposits. Concurrently, banks engage in lending activities, either directly or indirectly through capital markets, thereby facilitating economic growth and stability. Banks play a vital role in managing the flow of money within an economy.

1979: Establishment of the Federal Financial Institutions Examination Council (FFIEC)

In 1979, the Federal Financial Institutions Examination Council (FFIEC) was established as an inter-agency body to prescribe uniform principles, standards, and report forms for federal examinations of financial institutions.

1985: Banks engaged in mergers or acquisitions

From 1985 to 2018, banks were involved in approximately 28,798 mergers or acquisitions, as either acquirers or target companies.

1999: Banks engaged in mergers or acquisitions

Around 1999, there was a major wave of bank mergers and acquisitions, peaking at around 460 bil. USD.

2004: Germany, France, and Italy each had more than 30,000 branches

In 2004, Germany, France, and Italy each had over 30,000 bank branches, more than double the 15,000 branches in the United Kingdom.

2007: Banks engaged in mergers or acquisitions

Around 2007, there was a major wave of bank mergers and acquisitions, peaking at around 460 bil. USD.

2008: Brokered deposits and bank failures during the financial crisis

During the 2008 financial crisis in the United States, banks that failed had, on average, four times more brokered deposits as a percentage of their total deposits compared to the average bank. These deposits, along with risky real estate investments, contributed to the savings and loan crisis of the 1980s.

2008: Regulators force banks to issue Contingent convertible bonds (CoCos)

In 2008, following the financial crisis, regulators mandated banks to issue Contingent Convertible Bonds (CoCos), hybrid capital securities designed to absorb losses when a bank's capital falls below a specific level, thus reducing debt and boosting capitalization.

2008: Assets of the largest 1,000 banks in the world grew

In 2008, the assets of the world's 1,000 largest banks increased by 6.8% to reach a record US$96.4 trillion.

November 2009: China's top four banks have in excess of 67,000 branches

As of November 2009, China's top four banks, including ICBC, BOC, CCB, and ABC, collectively had over 67,000 branches, along with an additional 140 smaller banks with an undetermined number of branches.

2009: Assets of the largest 1,000 banks in the world grew and Fee revenue generated by global investment in banking increased

In 2009, the assets of the largest 1,000 banks in the world grew despite adverse market conditions due to recapitalization. Fee revenue generated by global investment in banking also increased by 12% to reach US$66.3 billion.

2015: The United States has the most banks in the world

As of 2015, the United States had the highest number of banks globally, with 5,330 institutions and 81,607 branches, indicative of its geographical and regulatory structure.

2018: Banks engaged in mergers or acquisitions

Between 1985 and 2018 banks engaged in around 28,798 mergers or acquisitions, either as the acquirer or the target company. The overall known value of these deals cumulates to around 5,169 bil. USD.

2021: Citigroup initiated an exit from retail banking

In 2021, Citigroup began to exit retail banking outside of its core U.S. market.

2022: HSBC initiated an exit from the U.S. retail market

In 2022, HSBC initiated an exit from the U.S. retail market, except for its wealth management business.

March 2023: Global Banking Crisis

In March 2023, a global banking crisis was triggered by liquidity shortages and bank insolvencies, leading to the failure of three banks in the United States and the subsequent failure or shutdown of several of the world's largest banks by regulators within two weeks.