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Finland joins the Addis Tax Initiative to strengthen developing countries' domestic resource mobilisation

Ministry for Foreign Affairs 15.7.2015 9.28
Press release 173/2015

Finland participates in the international initiative aiming at more efficient taxation in developing countries. The Addis Tax Initiative (ATI) was launched at the Third International Conference on Financing for Development in Addis Ababa, Ethiopia, on 15 July.

The countries subscribing to the initiative commit to strengthening developing countries' domestic resource mobilisation  and improve the fairness, transparency, efficiency and effectiveness of their tax systems.  The question is, above all, about sharing knowledge and providing technical assistance. The donor countries pledge to double their support for this purpose by 2020.

"Tax revenue is essential for the provision of public services and for sustainable development. We have shared Finnish expertise, for example, through the African Tax Administration Forum ATAF. Now we are joining the Addis Tax Initiative which is an important practical commitment meant to support developing countries' domestic resource mobilisation. The countries are in need of a strong private economy and an effective taxation system," says Minister for Foreign Trade and Development Lenita Toivakka.

In addition to Finland, the following countries joined the initiative:  Australia, Belgium, Cameroon, Canada, Denmark, Ethiopia, France, Germany, Great Britain, Indonesia, Italy, Liberia, Luxembourg, Malawi, Netherlands, Norway, the Philippines, Senegal, Sierra Leone, Slovenia, South Korea, Sweden, Switzerland, Tanzania, United States of America, and the European Commission.  International organisations that support the ATI include the OECD, the World Bank, the International Monetary Fund (IMF), the African Tax Administration Forum (ATAF), the Inter-American Centre of Tax Administrations (CIAT) and the Gates Foundation. 

The Conference on Financing for Development, which will end tomorrow, is a central for the implementation of the UN's goals and action plan for sustainable development. Improvement of developing countries' domestic financial resources is key to the promotion of sustainable development. This means, among other things, improvement of domestic resource mobilisation and reduction of corruption as a part of good governance.

The action plan and goals, known as the Post-2015 development agenda, are a follow-on to the UN Millennium Development Goals (MDGs). The Post-2015 agenda extends to 2030. Its central goals are eradication of extreme poverty in all its forms everywhere and sustainable development from the point of view of both human well-being, economic growth, and  the planet's carrying capacity. The goals will apply to all countries of the world - also Finland.

The Post-2015 development agenda will be adopted at a UN Summit in New York from 25 to 27 September.

Inquiries: Pekka Hukka, Senior Adviser, tel. +358 295 351747, [email protected],

Pasi Rajala Special Adviser to the Minister, tel. +358 400 464393, [email protected] 

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Finland works on a broad front to achieve global tax rules and strengthen the taxation capacity of developing countries

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