Public Banking Around the World:
Germany
After 2 world wars, and a totally destroyed infrastructure, the German economy has risen like the proverbial Phoenix from the Ashes to become the world leader in “hidden champions”, small businesses that dominate their niche markets around the world.
Ellen Brown, activist and author of “The Public Bank Solution”, discusses the phenomenal resilience of the Germany economy.
Historically, Germany has an economy rooted in the Sparkassen banks that presently provide 70% of the small business market in the country, and about 42% of the entire German economy.
The BAR/DOT chart below illustrates the number of "hidden champions" by nation. These are Small or Medium sized Enterprises (SMEs) that have a dominant (1,2,3 ... gold, silver, bronze) global position in their niche markets.
GERMANY far out paces all other countries, with the US coming in 2nd.
The key ingredient to the success of Germany's "hidden champions" is a system of local public banks that provide all the financing needs of SMEs in their defined jurisdiction, following the "Regional Principle" that constrains investment to the jurisdiction of the bank. Cities are often the defined jurisdiction of these banks in Germany.
See Richard Werner on this: https://www.youtube.com/watch?v=dSB2CHKtdwM&t=1253s
Such local public banks, the Sparkassen, are chartered to invest only within its jurisdiction. Boundaries are legally maintained and enforced.
Like all public banks, the Sparkassen are Constrained by the Regional Principle to its defined geographic boundaries, city, county, state, region, or other representative government.
The German Sparkassen are chartered to assist local industry, making it the country with the most “hidden champions”, SMEs that have dominant positions internationally.
Once again, the good professor Richard Werner on the Sparkassen banks: