Leaders at the G20 summit in Hamburg say they intend to tackle some of the mechanisms and the lack of transparency in international transactions that enable trade-based financial crime.
They called for improved information sharing between trading nations and the implementation of international standards on transparency to fight corruption, tax evasion, money laundering and terrorist financing.
The Hamburg Action Plan adopted at the end of the two-day summit of developed countries and emerging economies calls for the first automatic exchange of financial account information under common OECD reporting standards by September 2017.
The plan also calls for the implementation of a Base Erosion and Profit Sharing (BEPS) package to check against value-shifting, which is seen as a particular problem in illicit trade-based schemes involving multinational resource companies and resource-rich countries, many of which are in Africa.
The 12-page plan specifically focused on the need for open and fair trade:
“International trade and investment are important engines of growth, productivity, innovation, job creation and development.
We will keep markets open noting the importance of reciprocal and mutually advantageous trade and investment frameworks on the principle of non-discrimination and continue to fight protectionism, including all unfair trade practices and recognise the role of legitimate trade defence instruments in this regard,” the plan states.
Categories: Trade Based Financial crimes News