Wiener Stadtbank

About Wiener Stadtbank

The Wiener Stadtbank was founded in Vienna in 1703 as a municipal bank. It served the Habsburg monarchy, financing wars and state expenses. The bank issued banknotes called Bancozettel, which became Austrians first paper currency. The bank was reorganized multiple times as the monarchy faced financial crises. In 1816 the Oesterreichische Nationalbank was founded to restore monetary stability after the Napoleonic Wars. The Bancozettel had depreciated significantly. The Austrian experience with paper currency and banking crises influenced monetary thinking throughout Central Europe. Austrian banks played a key role in financing industrialization in the Austro Hungarian Empire.