Words are not enough: actions count

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Bloomberg has noted that:

German Finance Minister Peer Steinbrueck said pledges by countries including Switzerland to expand cooperation in tax cases are not enough and must be followed by action.

“There’s still a difference between announcements, concrete agreements and measures backed by legal action,” Steinbrueck told reporters after a meeting of finance ministers and central bank governors from the Group of 20 in Horsham outside London yesterday. “I think we’re on the right track if these announcements are followed up by concrete measures.”

The threat to put Switzerland on the OECD list of non- cooperative countries “is like having the Seventh Cavalry in Fort Yuma that can be ordered to ride out but doesn’t have to,” Steinbrueck said. “The important thing is that the Indians know it exists.” Switzerland is currently not on the OECD’s list, he said.

I agree, wholeheartedly.

It’s a shame more did not say the same thing.

Switzerland should be sanctioned until we see banking secrecy tumble and information flowing. Nothing else will get it moving.