This blog originally appeared on Action for Global Health.
At Wednesday’s “growth summit” EU leaders must go on record and commit to allocate a proportion of a Financial Transaction Tax (FTT) for global development. An EU FTT which fails to fund global priorities, such as global health needs, would be unacceptable.
This and last week feature highly important global events: the launch of a Robin Hood Tax Campaign in the United States; a G8 meeting at Camp David; and, tomorrow, a very important EU Heads of State “growth summit”.
Opponents of a Financial Transaction Tax (FTT) often make the assertion that the financial sector is “untouchable” and they claim that there are no quick solutions to poverty and challenges in global health.
Yet there is one idea that wouldn’t negatively affect the workings of the financial sector but would give world leaders the capacity take massive strides towards health for all, poverty and climate change. A tiny tax on financial transactions, like shares or bonds, would raise $409 billion a year and at the same time have the positive knock-on effect of slowing the dangerous ‘casino’ behaviour in financial markets which is the root cause of the global economic crisis.
Small change – big difference
A small change for the banks would make a huge difference for the world’s poorest.
The FTT constitutes a once-in-a-century opportunity to make the financial sector to pay a fair contribution for global public goods, such as health, peace, food security, climate change adaptation and education.
Potential effect on global health
Think about it:
- 6 billion per year could get all those who need it on AIDS treatment.
- 9.6 billion could pay for free healthcare for 227 million people in the world’s poorest countries.
- 30 billion could pay for every person on the planet to access clean water and sanitation.
Global Week of Action
Starting with the National Nurses United union marching in their thousands in Chicago, campaigners in both the United States and Europe have been raising the pressure on decision-makers during this year’s global week of action.
Robin Hood campaigners in over 30 countries representing over 220 million people are campaigning for the FTT. They enjoy the support of leaders such as the German Chancellor and French President, the South African and Brazilian governments, Bill Gates, more than a thousand economists, the Pope and the Archbishop of Canterbury.
The introduction of the tax is imminent in Europe. We now need a commitment from European leaders that a significant part of the revenues will go to global challenges such as health, poverty and climate change.
From Sherwood Forest to the stock exchanges – Become Robin Hood
It is up to all of us to make enough noise to ensure European leaders agree to an ambitious FTT, with the revenue raised going to global causes so that any new tax is worthy of the name the Robin Hood. We can't win the battle and lose the war.
Ideas this good don’t come along every day. And when they do, they’re too powerful to ignore. It is time to put our Robin Hood hats on and act!
- Email your MP>>
- Tweet your support - 1000 economists, Nobel Prize winners, world leaders, religious figureheads all support a Robin Hood Tax. Do you? http://bit.ly/JL9jeM
Olga Golichenko, Global Health Advocacy Officer, Action for Global Health
Corinna Heineke, Health Poverty Action, UK
Khalil Elouardighi, Coalition PLUS, France