G20 final statement to mention financial tax: Barroso

4th November 2011, Comments 0 comments

The G20 final statement will refer to transaction taxes, although the world's biggest economies remain divided on them, European Commission chairman Manuel Barroso said on Friday.

Barroso said there will be "some references in the conclusions to this tax on financial transactions" but also said that there was "no unanimity yet."

"It will recognise the efforts of those who decided to go ahead" with implementing the levies, he added.

France and Germany have been pushing for a small tax on financial transactions to be adopted at the G20 as a mechanism to force markets to help pay for government efforts to rescue debt-riden economies.

On Thursday, summit host Nicolas Sarkozy made a pitch for the tax, saying it is "technically possible, financially indispensable and morally inarguable."

However, the scheme has run into opposition from the United States, Canada, Russia, Australia and China, although Sarkozy suggested on Thursday following talks with President Barack Obama that US objections may be softening.

© 2011 AFP

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