“Historical development of banking”

In order to understand the various dimensions of banker customer relationship first we have to study the origin and evolution of banking, after which we can understand the changing dimension as per the change in time and situation. The evolution of banking has its deep roots in the barter system prevailed in olden days. The defect and drawback in the barter system made necessity of invention of money, there are two theories regarding invention of money, i.e. Theory of Invention and Theory of Spontaneous Growth.