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5 - Money, Credit and Banking, 1000–1500

from Section II - The Medieval Economy, 1000–1500

Published online by Cambridge University Press:  22 February 2024

Pedro Lains
Affiliation:
Universidade de Lisboa
Leonor Freire Costa
Affiliation:
Universidade de Lisboa
Regina Grafe
Affiliation:
European University Institute, Florence
Alfonso Herranz-Loncán
Affiliation:
Universitat de Barcelona
David Igual-Luis
Affiliation:
Universidad de Castilla-La Mancha
Vicente Pinilla
Affiliation:
Universidad de Zaragoza
Hermínia Vasconcelos Vilar
Affiliation:
Universidade de Évora, Portugal
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Summary

This chapter describes the key changes in terms of money, credit and banking in the 1000 to 1500 period within the various kingdoms. It highlights how after a period of late monetization, each Christian kingdom transitioned to centralized models that were well-articulated with their European counterparts while keeping important distinctive traits. Nevertheless, the demand for means of payment on behalf of kings, merchants and other agents stimulated the development of credit. The need for credit spanned the entire Peninsula and the urban/rural divide. Thus, all countries saw the emergence of lively credit markets for (mostly private) borrowers, buttressed by functioning courts and regulations. These markets involved both specialists and non-specialists, but it was only in the Crown of Aragon where financial agents transitioned to institutionalized banks.

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Publisher: Cambridge University Press
Print publication year: 2024

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