Swiss discussing how to give black money details | Fusion - WeRIndia

Ever since November of last year, India has been working hard to cleanse and improve its currency and economy, particularly surrounding the issue of black money. Nationally, this goal was put into action with the monetization, demonetization, and re-monetization of several rupee bank notes.

However, internationally, India has been seeking a pact with the banks of Switzerland so that they can help India root out the black money in both the national and international economies.

Currently, the Swiss government is planning to give an Automatic Exchange of Information (or AEOI) out to the countries with which Switzerland will have an economic pact.

Next month, the Swiss government will host a parliamentary panel in which the government will discuss the safeguards needed in order to adopt the AEOI. They are planning to give out this exchange not only to India, but to forty other possible jurisdictions as well.

This panel will also discuss inter-governmental issues regarding the AEOI, such as which parliamentary committees should be strengthened for the transmission of this valuable data.

Before this data is transmitted, the Swiss Federal Council will submit a report to the Swiss Parliament to ensure that necessary protection requirements are met by these countries.

Although the government of Switzerland has officially and unwaveringly decided to send out this information, their decision is still opposed by the members of the Swiss People’s Party, or SVP. The SVP is a conservative right-wing populist party in Switzerland, and they are adamant about protecting bank secrecy in Switzerland.

Other private bank groups were in opposition to the AEOI as well, but they came around to the decision when the Swiss government promised to ensure necessary data protection.

Black Money – Representative picture

All in all, the decision of the Swiss government is firm, and the country will soon be helping countries like India cleanse and improve their national economies, as well as the global economy.

Image Reference: BusinessLine, Insights