German SPD proposes a global CTT
On September 11th, the German SPD said it wanted to propose the idea of a global tax on financial markets. They want the idea to be discussed on the G20 meeting end of September.
With a global tax of 0,05 %, Germany would be able to collect between 10 and 20 billion Euro. If the idea is rejected, the social-democratic party proposes to introduce a German tax on all transactions on the stock-exchange. In that way, only 2 to 3 billion Euro could be collected and major transactions - that caused the current crisis - would be exempted.
Recently, Lord Turner, chairman of the Financial Services Authority in the City of London, suggested that a financial transaction tax might be a good idea to curb excessive pay, profit and activity in a 'swollen' financial sector. His idea was not well received and therefore, it might be as unsuccesful as former initiatives. However, according to the Financial Times (of August 27th 2009), there is a genuine fear among regulators that the easing of the financial crisis can bring new difficulties. Tough measures still need to be implemented, and it certainly is a good idea to have this stated before the next G20 meeting in Pittsburg.
Source: www.GlobalSocialJustice.com
Last modified
2009-09-11 11:30 AM
