"One saves, the other needs money they don't yet have. That must be organized. That's called a bank. It's that simple." In four sentences, Wolfgang Schäuble described the banking system in a Stern interview (No. 48/2008 from November 20, 2008) more than 15 years ago. Accurate, but not quite comprehensive. Because there's much more in financial institutions. This is shown by a position paper by the Association of German Banks from this year.
Banks are for everyone
Companies, clubs, associations, employees, self-employed individuals, pensioners, or students – they are all united by one thing: a bank account. 174 million bank cards and 114 million checking accounts, for example, make it easy to handle daily transactions smoothly, with about 22 million card payments every day in Germany. Through various financial products and services like life insurance or business insurance, banks provide security. Moreover, loans and credits allow customer dreams to come true.
People, the economy, and society equally benefit from a functioning banking system. This is highlighted by the position paper "Banks in Germany" from the banking association this year using figures from different areas.
Banks support the economy
Banks contribute significantly to economic growth. On one hand, they finance the economy: With a loan volume of just over one trillion euros, they support companies in Germany. About 80 percent of corporate financing involves bank loans. Additionally, about 90 percent of German exports are conducted through private banks.
On the other hand, they create jobs themselves, making them value creators. The German banking industry employs over 540,000 workers. The gross value added, the added value contributed by the financial sector nationwide, amounts to approximately 73 billion euros.
Banks are drivers of innovation
Through capital provision, financing of research and development, support for start-ups, and their own investments in digital solutions, banks promote innovations. According to the position paper, the following aspects contribute to the banks’ innovation account:
- In 2021, banks issued 72 billion euros in green bonds newly. This positioned Germany as first in the OECD area.
- 720 billion euros are invested in sustainable funds.
- Private banks accompany 95 percent of green bond issuances.
- The three largest private banks in Germany alone already support more than 10,000 start-up companies.
But: Banks must also help themselves
Banks support our society daily—almost unnoticed. When major financial decisions are imminent for private individuals or companies, the first step is often to the bank of trust. Furthermore, they support everyday life. 7.1 billion transfers are made annually via bank accounts. At 55,000 ATMs, citizens withdraw cash 3.8 million times a day.
However, the comprehensive supply of the population is becoming more and more of a challenge for banks. Rising costs from unoptimized cash logistics, high manual cash handling personnel expenses, or declining profit potentials—financial institutions often suffer from inefficient cash processes. More security, transparency, and productivity are desires that can be easily realized.
Various digital solutions offer advantages around optimized control, documentation, and traceability of cash logistics. For example, complete digitization and automation of cash handling bring efficient processes and sustainability along the entire supply chain. Curious? Our .
We understand the importance of our financial institutions and therefore offer solutions. What fits best with your operations?