The 1924 Announcement of World Savings Day in Milan: A Foundational Moment for Global Thrift and Financial Empowerment

The 1924 Proclamation of World Savings Day in Milan: A Global Initiative for Financial Thrift and Economic Stability.

On October 31, 1924, a pivotal moment in global financial history occurred in Milan, Italy. At the culmination of the 1st International Savings Bank Congress, Professor Filippo Ravizza formally declared the establishment of World Savings Day (initially known as World Thrift Day). This proclamation was made in the presence of some 350 visionaries from 27 countries, who shared a unified mission: to promote the virtue of saving as a cornerstone of individual financial security and national economic prosperity . The Congress itself was organized under the auspices of the World Society of Savings Banks, an organization that would later evolve into the World Savings and Retail Banking Institute (WSBI) . This event was not an isolated phenomenon but rather the crystallization of a growing, worldwide movement that recognized thrift as fundamental to civil progress and stability, particularly in the turbulent economic climate of the post-World War I era .

The Genesis and Founding Congress

The early 20th century presented a complex economic landscape, setting the stage for the creation of World Savings Day. In the aftermath of the First World War, many nations were grappling with economic instability and reconstruction. In countries like Germany, the hyperinflation of 1923 had devastated personal savings, eroding public confidence in financial institutions . Simultaneously, the foundational concept of savings banks was not new; they had existed for over a century, with the German Sparkassen, for instance, established over 200 years prior as microfinance institutions for lower-income individuals . The idea of dedicating a day to savings had already been trialed in several nations. Spain, for example, had celebrated its first national thrift day as early as 1921, and similar initiatives were underway in the United States . These nascent efforts demonstrated a recognized need, but they lacked a unified, international platform.

It was against this backdrop that Milan was chosen to host the 1st International Thrift Congress in 1924. The city became the gathering point for hundreds of delegates representing savings banks from across the globe. The congress was a forum for sharing experiences, challenges, and strategies for promoting savings . The resolution to create an international day of observance was born from these discussions, intending to sear the "thought of saving" into the global public's consciousness . The leadership of key figures was instrumental in this endeavor. The Congress was presided over by Marchese de Capitani d'Arzago, and it was under his guidance and the pioneering efforts of Professor Filippo Ravizza that the final day of the proceedings, October 31, was designated "International Saving Day" . The choice of date was pragmatic as well as symbolic; it was selected to ensure that banks would be open for business, allowing citizens to immediately act on the day's message by depositing their savings .

The Mission and Early Campaigns

The primary mission announced at the 1924 congress was deceptively simple: to inform people everywhere about the paramount importance of saving money in a bank rather than hoarding it at home . The delegates believed that thrift was not merely a personal financial practice but a "virtue and a practice which are essential to the civil progress of each individual, of every nation, and of the whole of humanity!" . This lofty ideal was rooted in the understanding that widespread savings form a stable pool of capital for local investment, fueling economic development, job creation, and community resilience . To bring this mission to life, the early proponents of World Savings Day embarked on multifaceted campaigns that leveraged a wide array of community institutions.

Recognizing that habits are best formed young, a major focus was placed on educational outreach in schools . Savings banks began providing students with piggy banks and passbooks, creating a tangible connection to the act of saving. The piggy bank, an object with ancient origins, was adopted as the informal symbol of the day. Its history can be traced back to clay pots used in Asia Minor in the 2nd century BC, while its association with the pig shape is often linked to the medieval English word "pygg," a type of clay, or to the pig as a universal symbol of luck and abundance . In Italy, following the 1924 declaration, it became a tradition for banks to distribute piggy banks to schoolchildren. Intriguingly, the children were not given the key; the bank retained it, and at the year's end, the young savers would bring their piggy banks to the branch to be opened, with the contents counted and deposited into their savings accounts along with interest . This practice taught the principles of delayed gratification and the benefits of saving within the formal financial system.

Furthermore, the movement did not work in isolation. The savings banks actively collaborated with "schools, the clergy, as well as cultural, sports, professional, and women's associations" to disseminate the message of thrift . This broad coalition was essential for reaching all segments of society. The movement even found artistic expression in "The Hymn of Thrift," an ode to saving first written with Italian lyrics in 1928. This melody subsequently crossed borders and was translated into several languages through competitions among national savings banks, further cementing the cultural footprint of the savings movement .

Evolution and Lasting Legacy

The end of the 1924 Congress was not the end of the story, but rather the beginning of a lasting global institution. The organization founded in Milan that year has endured and grown, today known as the World Savings and Retail Banking Institute (WSBI). It has expanded to represent approximately 6,400 savings and retail banks across 76 countries, serving a staggering 1.7 billion customers . True to its founding values, the WSBI continues to focus on issues of global importance, advocating for sustainable and inclusive growth and providing a platform for knowledge exchange among its members . World Savings Day itself became a veritable tradition, reaching the peak of its popularity in the decades between 1955 and 1970 . The day's celebration was adapted to local contexts; in Austria, for example, the official savings mascot 'Sparefroh' became a widely recognized figure, even having a street named in his honor .

In the modern era, the focus of World Savings Day and the WSBI has significantly shifted towards financial inclusion in developing countries . The core mission remains promoting savings, but the context has evolved to addressing the needs of the "unbanked" – the millions of people who still lack access to basic financial services. Initiatives like the Scale2Save program work to build the resilience of vulnerable populations, such as rural women and out-of-school youth, by helping financial institutions design services tailored to their needs . This modern application directly echoes the original 1924 intent: to use savings as a tool for individual empowerment and economic security. The foundational work of organizations like the German Sparkassenstiftung für internationale Kooperation (SBFIC), established in 1992, further extends this legacy by sharing the successful Sparkassen model with over 80 countries, helping them build robust, local financial structures .

The principles championed in Milan a century ago continue to be celebrated and debated today. As noted by the Museum of Saving in Italy, the propensity to save remains a characteristic of the Italian people, a notion even supported by the country's Constitution . However, contemporary celebrations of World Savings Day also acknowledge new challenges, such as the digital disruption of finance and the need for improved financial literacy to help citizens navigate an increasingly complex investment landscape . The recent centennial celebration of the WSBI in Rome in 2024, attended by leading figures from the global financial community, serves as a powerful testament to the enduring relevance of the declaration made in Milan in 1924 . It underscores a century-long, unwavering commitment to the belief that savings are fundamental to the economic well-being of individuals and nations alike, a idea that started with a congress of visionaries in Milan and has since circled the globe.

Photo from iStock

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