Michael Schwan & Mark Cassell (2022). „Sparkassen revisited. The resiliency of German savings banks between globalization and crises”, in: Institute for Banking and Financial History (IBF), “Banking on the State”, IBF Paper Series, Conference Papers 01-22, p. 150-164. https://www.ibf-frankfurt.de/components/getdata.php?file=1650553546_SFupLD_2201bfconferencepaperseries.pdf

Abstract

Despite changes in production networks, welfare state institutions or global finance, Germany’s growth model still rests on its unique three-pillar banking system with its strong position of public and cooperative banks. This chapter takes a close look at German savings banks and reassesses the role of Sparkassen. Sketching main sectoral developments since the 1990s the chapter develops a threefold argument. First, savings banks successfully navigated through the white water of financialization and market-based banking. Second, specific institutional power resources equip Sparkassen with a high degree of resiliency vis-à-vis challenges posed by Europeanization and liberalization. Third, Sparkassen contribution to solving national crises is illustrated by savings banks’ role in mitigating the economic turmoil caused by Covid-19.