diff --git a/logging.conf b/logging.conf
new file mode 100644
index 0000000..a777f6d
--- /dev/null
+++ b/logging.conf
@@ -0,0 +1,37 @@
+[loggers]
+keys=root,transactions
+
+[handlers]
+keys=console,file
+
+[formatters]
+keys=simple,complex
+
+[logger_root]
+level=NOTSET
+handlers=console,file
+
+[logger_transactions]
+level=DEBUG
+handlers=console,file
+propagate=0
+qualname=pfbudget.transactions
+
+[handler_console]
+class=StreamHandler
+level=INFO
+formatter=simple
+args=(sys.stdout,)
+
+[handler_file]
+class=FileHandler
+level=NOTSET
+formatter=complex
+args=('logs/pfbudget.log',)
+
+[formatter_simple]
+format=%(asctime)s %(message)s
+datefmt=%Y-%m-%d %H:%M:%S
+
+[formatter_complex]
+format=%(asctime)s %(levelname)s %(module)s::%(funcName)s %(message)s
diff --git a/pfbudget/database.py b/pfbudget/database.py
new file mode 100644
index 0000000..982b9a4
--- /dev/null
+++ b/pfbudget/database.py
@@ -0,0 +1,107 @@
+import sqlite3
+
+import logging
+import logging.config
+
+
+logging.config.fileConfig("logging.conf")
+logger = logging.getLogger("pfbudget.transactions")
+
+__DB_NAME = "data.db"
+
+CREATE_TRANSACTIONS_TABLE = """
+CREATE TABLE IF NOT EXISTS transactions (
+    date TEXT NOT NULL,
+    description TEXT,
+    bank TEXT,
+    value REAL NOT NULL,
+    category TEXT
+);
+"""
+
+CREATE_BANKS_TABLE = """
+CREATE TABLE banks (
+    name TEXT NOT NULL PRIMARY KEY,
+    url TEXT
+)
+"""
+
+ADD_TRANSACTION = """
+INSERT INTO transactions (date, description, bank, value, category) values (?,?,?,?,?)
+"""
+
+UPDATE_CATEGORY = """
+UPDATE transactions
+SET category = (?)
+WHERE date = (?) AND description = (?) AND bank = (?) AND value = (?)
+"""
+
+
+class Connection:
+    """SQLite DB connection manager"""
+
+    def __init__(self, db_name):
+        self.db_name = db_name
+        self.connection = None
+
+        self.__open()
+        self.__create_tables((("transactions", CREATE_TRANSACTIONS_TABLE),))
+
+    def __open(self):
+        try:
+            self.connection = sqlite3.connect(self.db_name)
+            logger.debug(f"SQLite database {self.db_name} connection successful")
+        except sqlite3.Error:
+            logger.exception(f"Error while connection to {self.db_name}")
+
+    def close(self):
+        try:
+            self.connection.close()
+            logger.debug(f"SQLite database {self.db_name} closed")
+        except sqlite3.Error:
+            logger.exception(f"Error while closing {self.db_name} database")
+
+    def __execute(self, query, params=None):
+        try:
+            with self.connection:
+                if params:
+                    cur = self.connection.execute(query, params)
+                    logger.debug(f"[{self.db_name}] < {query}{params}")
+                else:
+                    cur = self.connection.execute(query)
+                    logger.debug(f"[{self.db_name}] < {query}")
+                return cur.fetchall()
+        except sqlite3.Error:
+            logger.exception(f"Error while executing [{self.db_name}] < {query}")
+
+    def __executemany(self, query, list_of_params):
+        try:
+            with self.connection:
+                cur = self.connection.executemany(query, list_of_params)
+                logger.debug(f"[{self.db_name}] < {query}{list_of_params}")
+                return cur.fetchall()
+        except sqlite3.Error:
+            logger.exception(
+                f"Error while executing [{self.db_name}] < {query} {list_of_params}"
+            )
+
+    def __create_tables(self, tables):
+        for table_name, query in tables:
+            logger.info(f"Creating table if it doesn't exist {table_name}")
+            self.__execute(query)
+
+    def select_all(self):
+        logger.info(f"Reading all transactions from {self.db_name}")
+        return self.__execute("SELECT * FROM transactions")
+
+    def add_transaction(self, transaction):
+        logger.info(f"Adding {transaction} into {self.db_name}")
+        self.__execute(ADD_TRANSACTION, transaction)
+
+    def add_transactions(self, transactions):
+        logger.info(f"Adding {len(transactions)} into {self.db_name}")
+        self.__executemany(ADD_TRANSACTION, transactions)
+
+    def update_category(self, transaction):
+        logger.info(f"Update {transaction} category")
+        self.__execute(UPDATE_CATEGORY, (transaction[4], *transaction[:4]))