Monday, October 28, 2013

European Tax on Financial Transactions : Pay attention

The Governor of the Bank of France,  Christian Noyer, estimated that a future tax financial transactions, as it was designed by Brussels, pose " a huge risk" to countries that apply and must be rewritten.

" The Commission proposal is not viable and should be fully reviewed ," said Christian Noyer said in an interview with Financial Times of Monday, October 28 .

"I do not think it has been at any time for the French government to do something that would trigger the destruction of entire sections of the French financial industry would lead to a massive relocation of jobs and undermine the overall recovery, " argues Christian Noyer , told the British newspaper .

Eleven countries taken originally by France and Germany said they were willing to tax financial transactions as developed by the American economist James Tobin model.

The European Commission has presented them in February a draft wide tax could bring up to 35 billion euros per year.

But Paris believes that this project goes too far because it threatens some French financial specialties such as money market funds , even though the Minister of Economy and Finance Pierre Moscovici has repeatedly publicly claim a " ambitious " tax.