Banco Español de la Isla de Cuba - 1910

Beautifully engraved Bond Certificate from the Banco Espanol De La Isla De Cuba issued in 1910. This historic document was printed by the American Banknote Company - New York and has an ornate border around it with a vignette of an allegorical woman with a train and ship in the background and a vignette of the Cuban Coat of Arms. This item has the signatures of the Company’s President and Secretary. 27 unused coupons attached.






Certificate Vignette



Cuba was a Spanish colony, and was part of the Spanish West Indies when Spain ceded colonial authority to the United States on January 1, 1899. The Republic of Cuba was declared on May 20, 1902. Fidel Castro ceased power from Batista on January 1, 1959

Until the l9th Century, credit functions in Cuba, under Spanish domain, were performed by merchants who provided unsecured credit to sugar, coffee, and other producers. Between the early and mid-1800 however a number of single purpose establishments appeared in Cuba. The first bank established was the Banco de Fernando VIII, established in 1832 and which lasted ten years. As befitting a Spanish colony, these banks were founded by Spaniards, as opposed to the "criollos" born in Cuba.

In 1842 the "Caja de Ahorros" was established, followed in 1854 by the "Caja Real de Descuentos," which in 1856 became the "Banco Español de La Habana." On May 1, 1857, the "Banco de Cuba" was founded in Santiago de Cuba, after which a number of banking institutions were established. In 1859 there were 15 financial institutions on the island with a capital of US $22.4 million.

By 1863 Cuba had developed various other credit institutions, such as the "Caja Agrícola de Cárdenas," "Banco Agrícola e Industrial," "Caja Mercantil de Matanzas," "Crédito Industrial y Mercantil de Pinar del Rio," and "Banco Mercantil de Santiago de Cuba." The list of financial institutions continued to grow, slowly but continuously. The banking development ground to a standstill during the banking crisis of 1866, aggravated by the total lack of credit regulations and t he inexperience of the bank managers. The only survivor was the "Banco Español de la Isla de Cuba."

During the revolutionary periods, the Ten-Year War and the War of Independence, the banking system remained stagnant and it was not until the end of Spanish rule in 1898 that the Cuban Banking system began its resurgence. Although the two most import ant banks were the "Banco de la Isla de Cuba" and the "Banco del Comercio," several other banking houses, such as Gelats y Cía., Upmann, Zaldo and Simón y Cortés had been established and began to flourish. Most merchant banks operated in the British Merchant Bank fashion, most of them created by Germán and English immigrants. They later evolved into regular commercial banks. Zaldo would eventually become "Banco de la Habana" and later still, the First National Bank of New York.

Spanish Peseta (ESP) circulated while Cuba was a Spanish colony. In 1881, the Cuban Peso (CUP), was adopted as the unit of exchange and was linked to the US Dollar at par. The Peso was divided into 100 Centesimos until 1899 and 100 Centavos after 1899. United States Dollars (USD) were legal tender in Cuba between 1899 and June 30, 1951. Cuba left the Gold Standard on November 21, 1933. On October 18, 1960, Cuba switched from the Dollar area to the Ruble area. Dollars have been allowed to circulate since 1994, and Dollar Foreign Exchange Certificates (CUX) are also used.

Under Spanish administration, banknotes were issued by El Banco Espanol de la Habana between 1857 and 1891, by El Tesoro de la Isla de Cuba between 1891 and 1896, by the Banco Espanol de la Isla de Cuba between 1896 and 1899, by the government between 1934 and 1949, and by the Banco Nacional de Cuba beginning in April 1950.