INDUSTRY AND MAADIN BANK

The bank, which was established with the Law No. 633 dated April 19, 1925, started its activities on May 1, 1925. The Industry and Mines Bank was the first institution that allowed the state to take part directly in the development of industrial and mining production. With the establishment of this bank, which is one of the first examples of the development bank type, the state had created a type of bank in Turkish banking with a predominant management aspect.

Industry and Maadin Bank had important duties such as lending to newly developing industrial enterprises and playing a regulatory role against these enterprises.

At the beginning of 1926, the capital of the bank was 6.147.137.-TL. 2,000,000.-TL of the capital consists of cash and the rest consists of immovable properties. By 1930, the capital was fully paid up. ^one

Industry and Maadin Bank kept the Hereke, Feshane, Bakırköy Textile Factories and Tosya Paddy Factory under its control. It also became a partner in Bünyan and Isparta yarn factories, Maraş Paddy Factory, Malatya and Aksaray Milling and Electricity Companies, Kütahya Tile Factory and Yalvaç Industry-Trade Company. ²

As a result of the fact that this bank concentrated its activities mostly in its own businesses and its own resources were limited and there was no significant development in foreign resources, it could not show any efficiency in providing industrial loans to private institutions, except for the businesses it took over at the time of establishment and the affiliates participating in its capital. ³

Industry and Maadin Bank transferred the factories it held to the Industry Office in 1932, and it was transferred to the Turkish Industry and Credit Bank, which was established with the law no. With the establishment of Sümerbank in 1933, the factories in the hands of the Industry Office were transferred to this newly established factory.

1 A. Gündüz Ökçün, Turkish Economic History Seminar, "Banks Established as A.Ş. between 1900-1930," p. 442.

2 F. Ergin, supra, p. 51.

3 O. Akgüç, ibid, p. 158.

Source: Atatürk Döneminde Bankacılık Sistemine ve Gelişimine Genel Bir Bakış, Derya Bozoklu, ATATÜRK ARAŞTIRMA MERKEZİ DERGİSİ, Sayı 55, Cilt: XIX, Mart 2003