Research Information System
International Review of Economics, vol.73, no.1, 2026 (Scopus)
This study examines the economic organisation developed by the Knights Templar within a political economy framework. Beyond functioning as a religious order, the Templars established structured practices of capital management, liquidity coordination, public finance, and trust-based financial administration, contributing to the emergence of an early form of organised financial activity in medieval Europe. From the perspective of institutional analysis, the Templar model may be interpreted as an important historical precursor to later financial institutions. Within the relatively rigid production structures of feudal society, the Order developed a multi-layered network linking production, trade, credit, and royal finance. In doing so, it facilitated capital mobility, supported monetary circulation, and reinforced a culture of financial trust. This process illustrates the compatibility of religious legitimacy with structured economic administration and contributed to reshaping the relationship between political authority, ecclesiastical institutions, and organised capital. The study conceptualises this model as a form of “sacred finance” and discusses its significance for the early evolution of European political economy.