Governments Respond
Studies

European Parliament

This study published by the European Parliament, argues that the Tobin Tax is a "second best" solution to the creation of a single international medium of exchange.

European Union

ECOFIN Study ”Responses to the Challenge of Globalization” released.

The Tobin Tax is added for the first time to the agenda of ECOFIN, the Council of Finance Ministers of the European Union.  The European Commission is called to submit a report before the end of February 2002, notably on "the advantages and disadvantages of the creation of a tax on financial transactions, including the Tobin Tax, as well as alternative propositions pursuing the same goal", "the technical feasibility of the various alternative international means to finance development" and "the way to improve the effectiveness of the European budget devoted to aid development, such as the commitment to respect the objective of 0.7% of GNP."

European Parliament in Strasbourg: The first debate takes place in the plenary session of the European Union Parliament on the Tobin Tax. A proposed resolution requiring the European Commission to submit a report on the feasibility of the tax, to solicit the input of the IMF on the matter, and to explore the sanctions to take against States that encourage tax havens, is rejected by 6 votes. Nonetheless, it received the support of more than 220 European Deputies.

Finland

Kepa, the umbrella organisation of 200 Finnish development NGOs publishes a counter-assessment to the Finance Ministry Study, which asserts that expert group study is influenced by neo-liberal prejudice and does not have any scientific or political legitimacy. Kepa demands a new independent study.

Survey done by TV4 reveals that 70% of members of Finnish Parliament support Tobin tax. (135 of 199 interviews). The next day, Prime Minister Lipponen declares that Tobin tax is "humpug" and claims its supporters “populists”.

Foreign Ministry releases a public study which reveals that 73% of Finns are in favour of Tobin tax. 35% of Finns think that the Tobin tax should be 1%, and 38% that Tobin tax should be 0.1%.

The Ministry of Finance releases a study on the feasibility of the Tobin tax. Written by a group of four economists from the Finnish Central Bank, Helsinki University and Helsinki University of Economics, the study not unexpectedly concludes that CTT is unfeasible and possibly counter-productive, that there is no need for regulation of international capital flows in EU, and regulation of capital flows is even against the EU charter. The Minister of Foreign Affairs Mr Erkki Tuomioja and the 2nd Minister of Treasury Ms Suvi-Anne Siimes state that the report was "written with a certain attitude".

French "Landau Report" on development finance released

French President Chirac established a working group on new international financial contributions, the so-called Landau Group, in November 2003, which delivered its report in October 2004. The report reaches the following conclusion: Development financing based on current levels will not deliver the Millennium Development Goals by 2015. Additional resources are essential, and they must be stable, predictable and cost recipients less. The Landau Report proposes a menu of options to achieve this: international loans (International Finance Facility), coordinated global implementation of revenue raisers to be levied by individual nations (e.g., through environmental measures, financial transactions, corporations, and arms sales), along with mechanisms for voluntary contributions (e.g., credit card purchases).

Germany - Bundestag releases Final Report which Favours Currency Tax

The German Bundestag - Commission on Globalisation releases its final report which among 200 proposals favours a currency transaction tax (Tobin Tax). The Commission is composed of 13 members of parliament from each party and 13 experts. The results of the commissions are not binding on the government, but have an impact on public debate.

Germany Releases Study on the Feasibility of the Currency Transactions Tax

German Development Minister Ms. Wieczorek-Zeul releases a study on the feasibility of the currency transactions tax written by Paul B. Spahn, a finance economist and former IMF employee. The study refutes the main arguments against the Tobin-type tax and advocates implementation "by single OECD countries or - even better - within a group of countries, for example in the EU".

Norway Hosts Leading Group on Solidarity Levies to Fund Development Conference

A link to the Leading Group on Solidarity Levies to Fund Development conference website. The conference was held in Oslo, Norway, Feb 6-7, 2007

Norway - Report on the Leading Group on Solidarity Levies to Fund Development

A report on the Leading Group on Solidarity Levies to Fund Development Conference in Oslo, Feb 6-7 2007, by John W. Foster of the North-South Institute

United Nations Committee of Experts on International Cooperation in Tax Matters

The report contains the conclusions and recommendations of the first session of the Committee of Experts on International Cooperation in Tax Matters, held at the United Nations Office at Geneva from 5 to 9 December 2005. The new Committee reports directly to the Economic and Social Council and may make suggestions and recommendations for the work of the Council in the area of international cooperation in tax matters.

United Nations Secretary General Note on Innovative Sources of Funding

The UN Secretary General submitted to the General Assembly his analysis in a note for the fifty-ninth session that started on 21st September 2004. The Secretary General’s Note emphasised the urgency in finding new sources of finance for development, noting that such new resources should be thought of neither as charity, nor as a hand-out, nor an imposition on already strained budgets. The Note also briefly examines the study’s treatment of the Currency Transaction Tax, which many civil society groups and academics have been advocating for.