Daily Management Review

Lagarde: bribery causes damage of 2% of global GDP


04/03/2019


Global bribery leads to damage, which is estimated at $ 1.5 trillion, or 2% of world GDP, said Head of the International Monetary Fund (IMF) Christine Lagarde during a speech at the Chamber of Commerce in Washington.



MEDEF
MEDEF
"The annual losses of just bribery are estimated at more than $ 1.5 trln — about 2% of global GDP. Besides, the IMF has been cooperating with more than a hundred countries to combat terrorism and money laundering. Our latest researches underline high budgetary costs of corruption, which leads to huge losses in government revenues and a decline in the quality of government spending,” Lagarde said.

She also stressed that corruption leads to lower growth, increase inequality, as well as contributes to distrust.

"We are confident that appropriate  responses can make a big difference," Head of the IMF said. The new study of the organization associates a lower level of corruption with higher tax revenues, Lagarde stressed.

According to her, the IMF also "stresses the need to improve the system related to the international taxation of corporations."

“Reforming corporate international taxation is a major concern for all countries. But developing countries rely in particular on corporate tax revenues to fund critical investments in people and infrastructure. Our analysis shows that non-OECD countries (Organization for Economic Cooperation and development), each year receive less than $ 200 billion in revenue, because companies can withdraw their profits in low tax jurisdictions,” Head of the IMF said.

She explained that such "lost incomes make it even harder for low-income countries to increase their economic growth and employment."

source: reuters.com






Science & Technology

China is developing technology to capture greenhouse gases

IEA: The growth of renewable energy is slowing

Google introduces new smartphone and beta Android Q

SpaceX’s Dragon Crew Capsule Test Met With Anomaly

New Security Study Finds Millions Use 123456 As Password For Email Accounts

The Devastating Panama Disease Could Spell Extinction For Bananas

Walmart to hire 4 thousand robot cleaners

Samsung Galaxy Fold: Expensive but fragile

USA and South Korea launch the first commercial 5G networks

Deliveries of AR/VR devices to grow by 54% in 2019

World Politics

World & Politics

The Earth Is ‘Not On Track’ To Tackle Global Warming: The U.N. Secretary General

Is Finland’s aging population turning the country into Japan?

The United States will impose new duties on Chinese goods on Friday

Jyrki Katainen: EU is not a milk cow

Oil lobby and the planet's future

Trump files a lawsuit against Deutsche Bank and Capital One

Trump Urged Abe To Influence Japanese Auto Firm To Produce More Vehicles In The U.S.

IEA: Iraq will enter the top three oil leaders