Abstract:
The specification of the activity of the banks and their specified nature always
makes it necessary for funds when it is created and during the exercise of its
activity, or the Algerian legislator has conferred upon them particular sources by
which they obtain funds called - legal special funds -
However, to deal with the economic developments in economic life and the
growing importance of banks and the development of its operations, the need for
these funds has also increased that its own funds could not insure them, thus
they mainly relied on funds received by the public in the form of deposits and
monopolized the exercise of this transaction in accordance with the law.
The legislator also conferred on them other external sources to finance itself in
case of lack of cash, and this, by resorting to the bank of Algeria or by resorting
to the money market according to the mechanisms fixed by the Algerian
legislator.
On the other hand, and given the vital center of banks in the national economy
through what they save financing by relying on the funds of deposits, the
Algerian legislator intervened and decided to protect its deposits by obliging the
banks to keep specific monetary credits in order to meet the obligations imposed
on them. It also created a fund to insure these deposits, and forced the banks to
join and to participate under pain of sanctions issued by the Banking
Commission.
In addition to the vigil of the Algerian legislator on the protection of the rights
of depositories, it allows banks to make profits and expand their activity as their
main objective, since they were created as shareholder companies, and by
investing their funds in the areas that achieve them, especially in credit granting
operations, which is subject to the conditions and standards respected by the
banks if not its responsibility will be assumed as a guarantee for the proper
granting of credit or its use, especially that the latter relies on the funds of the
depositories in realizing this.
