AUSTRIAN BANKS AFTER 1945
Vienna, “Golden Quarter”
At the end of the Second World War and after the liberation by the Allied forces the main Austrian banks were nationalised. The assets of Austrian credit institutions including large claims on the Third Reich, loans to the German armed forces and to various official and semi-official institutions had become worthless. The losses incurred had eliminated the equity of many credit institutions. So in 1946 the Austrian government nationalised the three largest banks, the Creditanstalt-Bankverein, Österreichische Länderbank und Österreichisches Credit-Institut AG. The Reconstruction Act of 1955 enabled the banks to draw up balance sheets for the entire period up to the end of the 1954 business year. The banks had been able to offset the losses incurred on account of war and post-war events thanks to their own earning power. The Reconstruction Act was nevertheless most important for formal accounting purposes. It gave the banks the formal basis under trade and company law to make the provisions necessary for the fulfilment of their economic and socio-political tasks. The Act further stipulated that the banks should make annual reconstruction contributions to other areas of the Austrian credit system. In 1956/57 the two largest Austrian banks, Creditanstalt-Bankverein and Länderbank, were partly re-privatised by authorising the Minister of Finance to sell shares up to 40 per cent of their share capital.…