Matolcsy: Time has come for sustainability taxation

English2020. jan 15.GOVERNOR MATOLCSY100WORDS

It is certainly true that Europe must invest in policy areas where it can deliver more value than member states acting alone /Jean Pisani-Ferry, FT, 4 December 2019/.

It is a safe bet that all new European endeavours need financing, in the lack of fresh money all would-be projects will be no more than day-dreaming and wishful thinking.

In the coming years, European politics will be green, focusing on the issues of long-term sustainability. No matter what it means, no matter what major programmes it will launch, it will need new funds.

A major overhaul of taxation within the EU is long overdue. All income-type taxes should be lowered and VAT-type taxes can be increased. Special and targeted taxes can be introduced to finance the transition to a long-term sustainable economy.

Re “The EU should take a bigger role in the provision of public goods”

Governor Matolcsy, MNB, the Central Bank of Hungary

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