On the occasion of the 20th World Congress of Savings Banks (Madrid, 22-23 May 2003), the WSBI issued the following Declaration:

 The members of the WSBI 

perceive the growing process of globalisation as an opportunity to open up goods, labour and capital markets beyond national boundaries and to link them. In the free, fast and global exchange of ideas the WSBI members see an enormous potential for development that can bring growth and jobs and therefore enhance welfare worldwide; 

point out, however, that the process of globalisation can and has to be managed. First of all one has to ensure that in the future more people can share in the benefits of globalisation. Significant global instabilities and tensions result from the long-term exclusion of half of mankind from the positive effects of globalisation; 

demand therefore an increased engagement in development policy from the industrialised countries. This is relevant both for the execution of development projects and for the commitment to fair trade and symmetrical opening of markets; 

point out in this context that the strengthening of local, regional, and national resources is indispensable in order to survive the growing international competition and to create lasting development opportunities; 

stress therefore the central role played by savings banks, as well as locally and regionally anchored retail banks, in laying the foundations for bottom-up economic development by the provision of financial services; 

point out that each country has its own historical, economic and social background. The particular interests of national economies and banking systems cannot be ignored when attempting to introduce uniform rules and procedures. Savings banks are deeply rooted in heterogeneous environments, forming an integral part of national banking systems and playing an important role in the economies of their countries; 

insist that the restructuring of banking systems is a time sensitive procedure to be implemented with extreme care. The specificities of the economic structures and other societal factors in a country or region have to be taken into account. Necessary reforms of the financial system - often demanded by international institutions - should not damage deeply rooted and experienced institutions successfully operating in the market. Only then negative impacts on the access to financial services for all strata of the population and for the economy as a whole can be avoided; 

welcome the fact that in the recent past international institutions such as the World Bank and the IMF started to emphasize the support and development of local and regional credit institutions; ? encourage the international institutions to commit to this concept and to develop it further, as the creation and development of efficient regional retail banks represent a decisive contribution to the fight against poverty and the launching of sustainable development processes; 

oblige themselves to continue – on the basis of what they already provide - contributing to the transfer of knowledge through seminars, workshops as well as through numerous technical assistance projects. Savings banks always carry out these projects with great sensitivity to cultural diversity and regional circumstances; ? declare their readiness to further strengthen cooperation in this field and urge the international institutions to support this engagement; 

stress that against the background of increasing globalisation, global rules concerning internationally active companies are needed. At the same time, they demand, though, that diversity of cultures should be taken into account. Local and regional institutions adjust to the local needs. What proves to be good there, should not be impaired by the imposition of global norms and standards according to the "one size fits all" principle; 

demand thus that international regulations should leave space for variety and pluralism. They are against any unnecessary regulation and bureaucratisation and especially against the idea that credit institutions should be discriminated against on the basis of their legal form or the way they use their profits; 

stress in this context that variety in the financial services sector contributes to maintaining a competitive climate thereby benefiting borrowers and depositors. Were it not for the existence of savings banks, concentration in the sector through mergers would end up in a system where a few mega banks could gain an oligopolistic position; 

emphasize that retail banking markets – i.e. provision of advice and financial services to broad layers of population as well as SMEs – are regional markets. While some common rules and principles in some business areas are useful and even necessary (e.g. Basle Capital Accord, anti-money laundering rules), overly bureaucratic and excessive regulation, or harmonisation as an end in itself, is not in the interests of our clients in these markets; 

underline the special value of saving as a necessary condition for investment, as insurance against ups and downs of life and as a foundation in the fight against social exclusion. This is of growing significance in all parts of the world; for example in industrialised countries against the background of demographic change and the growing problem of pension provision, in the developing world in the fight against poverty and all over the world as a guarantee of growth and employment; 

emphasize their engagement as providers of financial services to small and medium sized enterprises as drivers of innovation, investment, growth and job creation; point out the variety of activities undertaken by savings banks in the fields of culture, sport, science, environmental protection and social welfare and declare their will to continue and develop these activities; 

stress that the lasting fulfilment of the social and economic roles of savings banks in the regions is only possible with efficient profit and service oriented management; 

will take initiative to use the World Savings Banks Institute as a platform for their cooperation in order to allow the voice of regional credit institutions to be heard in the dialogue with the international institutions and decision makers.