June 18, 2013
Ms. Christine Lagarde, Managing Director of the International Monetary Fund (IMF), issued the following statement today at the conclusion of the Group of Eight (G-8) Leaders’ Summit in Lough Erne, Northern Ireland:
“I would like to thank the G-8 leaders, including the host of this year’s summit, UK Prime Minister David Cameron, for inviting me to address issues related to global taxation. We have worked closely with our member countries—including those in the G-8—along with the Organization for Economic Cooperation and Development and other international institutions, to promote sound fiscal policies globally. Taxation regimes and fiscal transparency figure prominently in our technical assistance and ongoing economic analysis and policy advice, including measures that promote equitable and efficient tax systems as well as stronger tax administration.
“Prime Minister Cameron and the G-8 leaders should be congratulated for including international tax issues and transparency on the agenda of this summit. International tax avoidance and evasion have emerged as major risks to government revenue and as threats to the credibility of tax systems in the eyes of citizens— in both advanced and developing countries. At a time when almost all governments need additional revenues, whether to deal with high post-crisis public debts or to finance critical investments in human development, combating tax evasion and addressing tax avoidance should top the list of potential revenue-raising measures.
“The G-8 leaders should also be commended for the 10 principles put forward in the Lough Erne Declaration. A commitment to fair taxes, increased transparency, and open trade will support the broader commitment to maintaining sound macroeconomic policies and restoring stronger growth and job creation. The IMF stands ready to work closely with its member countries— including the G-8— and other multilateral institutions on these important issues and challenges.”