- Date: Friday, 27 October 2017, 1:15 pm - 2:30 pm
- Location: Conference Room 7, UNHQ, New York
Welcome to the United Nations
On 13 July, the Task Force held a side event to introduce the 2017 report of the Inter-agency Task Force to participants of the High Level Political Forum, and to explore how to strengthen links between the Task Force’s work and the HLPF, especially in relation to the means of implementation of the SDGs.
The silence procedure on the intergovernmentally agreed conclusions and recommendations of the 2017 FfD Forum expired at 9 a.m., Monday, 22 May 2017. Accordingly, the Co-facilitators will transmit the agreed text to the President of ECOSOC for the adoption at the FfD Forum at 4:30 pm on Tuesday, 23 May.
Final Draft of the outcome document (19 May 2017)
The Financing for Development agenda has emphasized the importance of long-term “stable private financial flows to developing countries” since the Monterrey Consensus (para 25.) At the same time, there has been a growing focus on the incorporating environmental, social and governance (ESG) factors in investing. The Addis Ababa Action Agenda brings these two strands together, emphasizing that sustainability and stability of the financial system are mutually reinforcing. Yet, to date, capital markets remain short-term oriented.
A number of inter-governmental and regional bodies currently monitor and publish information on country performance relating to Anti-Money Laundering / Countering the Financing of Terrorism (AML/CFT) for their members, the most prominent of which is the Financial Action Task Force (FATF).
The Addis Agenda notes that international tax cooperation should be scaled up in a way that is universal in approach and scope and fully takes into account the different needs and capacities of all countries. While for many years international tax cooperation focussed on the conclusion of bilateral tax treaties, which had the principle aim of reducing double taxation, in recent times such cooperation has increasingly looked at setting tax norms to close loopholes and limit the ability of multi-national enterprises (MNEs) to avoid paying taxes.
Investor incentives often tend to not be aligned with environmental, social and governance (ESG). Sustainable or green investments should , in theory, be attractive to long-term funds, since the risks associated with climate change are a potential long-run liability. However, the short-term nature of investment horizons sometimes impedes the incorporation of longer-term environmental risks into firms’ risk/return analysis.
Tax avoidance is a legal practice, and internationally involves tax planning and arbitrage across borders. Tax evasion is an illegal action that is, in most countries, characterized as a crime. To combat both tax avoidance and evasion, increasing the availability of information for tax administrations has been at the core of the recent initiatives in international tax cooperation.
The Addis Agenda commits States to make sure that all companies, including multinationals, pay taxes to the governments of countries where economic activity occurs and value is created.