April 15, 2011
How does capital flight work and how big a problem is it? Krishen Mehta of Global Financial Integrity (GFI) explains that in total, developing countries lose close to $1 trillion every year, of which 65 percent is related to commercial tax evasion.
March 12, 2011
The budget 2011 is one among a series of budgets in the medium term that seeks to consolidate the Central government’s fiscal deficit and this is in line with what I had expected. Fiscal consolidation is mainly driven by revenue growth and steps in that direction are crucial in order to reconstitute fiscal space.
Fiscal space means the government can launch a well-targeted expansionary expenditure policy so as to boost investments in infrastructure. Massive increases in infrastructure are needed in order to raise India’s potential rates of economic growth in the long run and to achieve better balance in growth rates among India’s states. The Budget seems to recognise the need to boost growth rates in some lagging areas where there is widespread discontent that is driving certain insurgency groups like the Naxalites. Better balance in economic growth will help to achieve national cohesiveness.
February 16, 2011
WASHINGTON, DC – Global Financial Integrity (GFI) joined 76 civil society organizations in calling upon the G20 to take action on corruption. In a letter submitted to G20 officials last week, the civil society groups affirmed their support for the G20’s work combating corruption, urged swift action and made recommendations.
February 10, 2011
Rumors spread today about the potential departure of Egyptian President Hosni Mubarak, but just last week, the President assured the Egyptian people that he loves his homeland, is proud of his service, and plans to live out his daysin Egypt after he graciously steps aside. And why shouldn’t he love his country? As president he and his family allegedly amassed an enormous fortune, some estimate as much as $40 to $70 billion, believed to be stashed in British and Swiss banks and invested in properties from London to Manhattan to Rodeo Drive. And while he is the corruption bogeyman of the hour, among world leaders he may well represent the rule and not the exception. Mubarak’s fortune points to a story behind the story. It is yet another example of the ease with which corrupt, criminal, and commercially tax evading money can be hidden, moved, and laundered in the global shadow financial system.
February 8, 2011
WASHINGTON, DC – A new global campaign challenging French President Nicolas Sarkozy and the G20 to make a firm commitment to ending tax haven secrecy launched today at the World Social Forum in Dakar. Organizations involved include ActionAid, Christian Aid, Eurodad, Global Financial Integrity, Oxfam International and the Tax Justice Network.
February 8, 2011
WASHINGTON, DC – Illicit trade in “goods, guns, people, and natural resources” is a $650 billion enterprise, which most negatively impacts the developing world, finds a new report released today by Global Financial Integrity. “Transnational Crime in the Developing World,” evaluates the overall size of criminal markets in 12 categories: drugs, humans, wildlife, counterfeit goods and currencies, human organs, small arms, diamonds and other gems, oil, timber, fish, art and cultural property, and gold.
February 2, 2011
WASHINGTON, DC – Global Financial Integrity (GFI) joined a coalition of professional and civil society organizations calling upon the Senate Judiciary Committee to support a provision in S. 23, The Patent Reform Act of 2011, which will eliminate tax strategy patents today.
January 26, 2011
WASHINGTON, DC – Egypt is losing more than US$6 billion per year—US$57.2 billion in total from 2000 to 2008— to illicit financial activities and official government corruption, writes Global Financial Integrity (GFI) economist, Karly Curcio, in a new weblog published today at www.financial taskforce.org. The piece “Egypt too? There Goes the Neighborhood” uses numbers from GFI’s recently released report, “Illicit Financial Flows from Developing Countries: 2000-2009.” The report, authored by GFI Lead Economist Dev Kar and Ms. Curcio, lists illicit capital flight numbers for all developing countries from 2000-2008, including Egypt.