G-20: Banks must carry more of burden in future bailouts

11/9/2009 | Bloomberg · Financial Times (tiered subscription model)

The Group of 20 nations took a strong line against excessive risk-taking in the financial system and said banks must pay more of the cost in future bailouts. But a proposal from British Prime Minister Gordon Brown for taxing financial transactions, the so-called Tobin tax, was solidly opposed by Treasury Secretary Timothy Geithner as well as officials from Canada, Russia, the International Monetary Fund and the European Central Bank. With such wide-ranging criticism, Brown quickly back-pedaled. "We're not that massively wedded to a transactions tax," an aide to U.K. officials said.

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Bloomberg · Financial Times (tiered subscription model)