G7 Raises Alarm on Shadow Banking System

Summit Vows Less Debt and More Tax

G7 Heads of State released their annual Declaration as their summit finished in Bavaria, Germany. The summit focused on rising debt levels and risks to global economic stability amid geopolitical tension around the world. They call for halting corruption and tax avoidance, reducing debt to more sustainable levels and increased transparency. They pledge to provide updates on national progress toward preventing corruption through anonymous shell companies.

Eric LeCompte, Executive Director of the religious development organization Jubilee USA Network, releases the following statement:

"We support the words of the G7 to address tax and debt issues to build a more stable and transparent global economy. ‎We now need the G7 to turn those words into action.

"Behind closed doors, G7 conversations focused on Greece. If the G7 is unwilling to address debt and tax policies head-on in Greece, how will they do it in the global economy?

"Clearly the G7 wants to tackle the risky world of anonymous shell companies. The developing world loses nearly a trillion dollars each year to corruption, crime and tax evasion and these anonymous companies are partly to blame. The FIFA scandal is a perfect example of the problem.

"I commend the G7 for pledging support for Nepal. Nepal needs debt relief immediately to recover and rebuild. Every day it pays an average of 0,000 in debt and that money should be building schools and health clinics.

"It is clear the G7 is concerned about global stability. Curbing corruption, reducing debt burdens and halting tax avoidance can reduce the instability that leads to poverty and conflict."

Read the G7 Leaders' Declaration.

Jubilee USA Network is an alliance of more than 75 US organizations and 400 faith communities working with 50 Jubilee global partners. Jubilee's mission is to build an economy that serves, protects and promotes the participation of the most vulnerable. Jubilee USA has won critical global financial reforms and more than 0 billion in debt relief to benefit the world's poorest people. www.jubileeusa.org