If God was a [Digital] Banker

Some days, I sit and pray that God will give me more money, more opportunity and more hope. Luckily, now he/she/they can, thanks to the Church Bank of Greece. In an interesting move, shared with me by Arjun Vir Singh, a Partner with Arthur D. Little, the Church of Greece is opening a digital bank! The Church of Greece is preparing to file an application for a banking license, aiming to establish its own digital bank within the coming months. The move, developed quietly over the past three years, has sparked a big internal debate among clergy and raised questions about the institution’s role in finance.

So,why is the Church venturing into the realm of digital banking? Well, the divine plan is to offer modern financial services while targeting Greek communities worldwide. It’s a way to keep the flock financially connected, no matter where they roam. Think about it. Estimates suggest that there are up to seven million Greeks living in diaspora communities worldwide, which, when added to the population of Greece (around 10 million), results in a total worldwide Greek population of approximately nearly 17 million people. That’s a lot of people to offer banking and prayers to.

“It will be a very modern electronic bank and it will not use Church assets as collateral,” a source emphasised, rejecting speculation that it would function as a so-called “Holy Bank.” But not everyone in the Church buys into this idea. For example, one insider commented: “let’s see when results start emerging if bishops will gradually want to become shareholders”. Yep. But then project leaders clarify that this isn’t an attempt to mimic the Vatican’s financial endeavours. “We are not becoming the Vatican,” a Church source clarified, perhaps hoping to avoid any unholy comparisons with the Vatican Bank*.

The initiative, dubbed “Phos Bank” (Greek for “Light Bank”), aims to illuminate the path of digital banking for the faithful and beyond. The project is backed by Financial Innovation Holding SA, with former Postal Savings Bank president Angelos Filippidis credited as its key proponent. The Church is not contributing financial capital but is leveraging its strong reputation to attract investors. The Church’s bank will be entirely digital, with no physical branches. After all, who needs a branch when you have Wi-Fi and prayers? But it does make me wonder whether I could go to my local, physical church and make a withdrawal or deposit?

 

* Istituto per le Opere di Religione, better known as the Vatican Bank, was founded in June 1942 by papal decree of Pope Pius XII. It is situated inside the Vatican City and run by a Board of Superintendence, which reports to a Commission of Cardinals and the Pope.

My main memory of this bank is the controversy caused by the death of Roberto Calvi who was chairman of the Vatican Bank but, under many alleged shady dealings, was found dead, hanging under Blackfriars Bridge in London in 1982.

Calvi was often referred to as "God's Banker" because of his close financial ties with the Vatican.

The big question still remains: was he murdered or was it suicide?

If that sounds interesting, watch the movie.

 

** While not every religion has its own banks, Islamic banking, also known as Sharia-compliant finance, is a prominent example of a religion-based financial system, with banks and financial institutions operating under Islamic principles.

 

*** FYI: there is also a very good book called If God was a Banker by Ravi Subramanian ... recommended!