Abstract:

The aim of this study is to introduce the first Western-style banking enterprise established in the Ottoman Empire, "Smyrna Bank". Smyrna Bank is a banking attempt in İzmir on May 2, 1842 and has not received the institution permission of the majority of the British capital. Since its establishment, the bank faced the reaction of the Bâb-i Âli, has been active for 460 days and was eventually closed by the Ottoman government on 6 August 1843. But Smyrna Bank’s experience has created a significant awareness of the need for modern banking practices for the Ottoman Empire. He first realized that other foreign capitalists, including the British, could not go to a financial institution that would violate the sovereignty of the empire.