Note XXXIII-20 — Chapter XXXIII · COMMERCE AND FINANCE. 1801-1887.

There were in 1883 two banks, the Internacional and Colombiano, in the city of Guatemala; both having ample capital for a time stood high. The former, founded in 1878, suspended in 1885. The latter, founded in 1879 by capitalists who were mostly Colombians, has no agencies, and limits its operations within the capital of the republic, and to the sale of bills of exchange on foreign markets. There was also the Banco de Occidente at Quezaltenango with a capital of $100,000; its main object being to assist agriculture and manufactures in the wealthy departments of Los Altos. Its standing was somewhat shaken by its bills having been largely counterfeited in Sept. 1882; but it managed to weather the storm. The Banco de Nicaragua, a bank of issue, loans, and discounts, with a capital of $600,000, has been quite successful. It was chartered in May 1871. The Banco Anglo-Costaricense went into operation at Managua in 1873, with a capital of $100,000, under the management of Allan Wallis. The Banco Internacional of Salvador began business on the 20th of Aug., 1880, and has since been prosperous, excepting in 1885, owing to the war with Guatemala, and a subsequent revolution. However, the results of the first six months were satisfactory. In 1867 the Banco Nacional de Costa Rica went into operation at San José, with a capital of $500,000, and power to increase it to one million dollars, under a contract for ten years between John Thompson and the government. Dec. 1, 1876, the government decreed the statutes of the Banco de Emision, with a capital of $500,000 secured with mortgages on real estate to the amount of $1,000,000. But the stockholders failing to pay in the capital, the government suspended the bank, which had been operating, and ordered the books transferred to the Banco Nacional of San José, which was to redeem all notes of that bank in circulation. The Banco Nacional had been created by a decree of Dec. 25, 1877, with a capital of $250,000. Its operations were not to include the issue of notes. A charter was granted in Jan. 1881, to establish a Banco Hipotecario Franco-Costaricense with a capital of $500,000. The by-laws were approved by govt in July 1881. The bank was to have a branch in Paris. Batres' Sketch Guat., 24; S. F Cronista, Feb. 3, 1883; Jan. 31, Apr. 25, 1885; Nic., Gaceta, Aug. 3, 1867; July 8, 1871; Id., Semanal Nic., Apr. 10, 1873; Pan. Star and Herald, Aug. 3, 1867; Sept. 2, 1885; Costa R., Col. Ley., xvii. 45-50, 51-5; xx. 4-19, 110-16, 295-7, 304-6, 311-12; xxiv. 197-205; xxv. 245-60; Id., 1878, 104-6; 1881, 17-26, 64-6, 143-68; Guat., Mem. Sec. Fomento, 1882, 37.