Germany Reaffirms Commitment to Minimum Tax on Multinational Corporations
Germany reaffirmed its commitment to the global agreement for a minimum 15% tax on the profits of multinational corporations, despite a recent exception made for U.S. companies.
The announcement came from German Finance Minister, Lars Klingbeil, who addressed the matter during a joint press conference with French Finance Minister Eric Lombard near Berlin on Wednesday.
Klingbeil emphasized that both he and Chancellor Friedrich Merz are fully aligned in their support for the international tax framework, stating: 'The Chancellor and I are united in our commitment to this global tax, and we will do everything in our power to keep this project on track.'
The issue gained significant traction last month when the G7 nations agreed to grant U.S. companies an exemption from the first pillar of the tax agreement. This pillar aimed to impose taxes on digital companies based on their customers' countries. The exemption was viewed as a major win for the Trump administration, which had heavily lobbied for such a concession.
Despite this, reports from German media on Tuesday revealed that Chancellor Friedrich Merz expressed skepticism regarding the future of the global tax initiative. However, Minister Klingbeil denied any internal disagreement, assuring that Germany remains committed to the broader project.
In 2021, approximately 140 countries reached a historic agreement under the Organization for Economic Cooperation and Development (OECD) on taxing multinational corporations. The agreement consists of two key pillars, including focusing on taxing companies, particularly digital ones, in the countries where their customers are located, and establishing a global minimum tax rate of 15% on profits.
Since returning to power, U.S. President Donald Trump announced his country's withdrawal from Pillar One. Trump also threatened retaliatory actions against any nation that applies this provision to American companies.
Despite the U.S. exit from Pillar One, Pillar Two is still in effect in about 60 countries, including major economies such as Brazil, the UK, Canada, Japan, Switzerland, and European Union member states.
Klingbeil's comments highlight Germany's ongoing efforts to preserve and implement the minimum tax system. This global tax framework is seen as an important step in addressing tax avoidance by large multinational corporations, particularly those in the digital sector.
While the U.S. exemption under Pillar One has raised concerns, Germany and other nations remain focused on the broader goal of creating a fairer tax system that prevents large corporations from exploiting lower tax jurisdictions.
read more
CBE: Deposits in Local Currency Hit EGP 5.25 Trillion
Morocco Plans to Spend $1 Billion to Mitigate Drought Effect
Gov't Approves Final Version of State Ownership Policy Document
Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister
Qatar Agrees to Supply Germany with LNG for 15 Years
Business
Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves
Business
Suez Canal Records $704 Million, Historically Highest Monthly Revenue
Business
Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday
Business
Wheat delivery season commences on April 15
News
Israeli-Linked Hadassah Clinic in Moscow Treats Wounded Iranian IRGC Fighters
News
China Launches Largest Ever Aircraft Carrier
Sports
Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer
Videos & Features
Tragedy Overshadows MC Alger Championship Celebration: One Fan Dead, 11 Injured After Stadium Fall
Lifestyle
Get to Know 2025 Eid Al Adha Prayer Times in Egypt
Arts & Culture
South Korean Actress Kang Seo-ha Dies at 31 after Cancer Battle
News
"Tensions Escalate: Iran Probes Allegations of Indian Tech Collaboration with Israeli Intelligence"
News
Flights suspended at Port Sudan Airport after Drone Attacks
Arts & Culture
Hawass Foundation Launches 1st Course to Teach Ancient Egyptian Language
Videos & Features
Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
See - Sada Elbalad
3 hours ago
- See - Sada Elbalad
White House: Trump supports a diplomatic solution to the Ukrainian conflict
Basant Ahmed White House spokeswoman Caroline Leavitt announced that US President Donald Trump supports a diplomatic solution to the conflict between Russia and Ukraine. "The president wants to end this war through a diplomatic solution," Levitt said. She noted that if a ceasefire agreement is not reached in Ukraine within 50 days, Russia will face "very high tariffs and other sanctions." read more Gold prices rise, 21 Karat at EGP 3685 NATO's Role in Israeli-Palestinian Conflict US Expresses 'Strong Opposition' to New Turkish Military Operation in Syria Shoukry Meets Director-General of FAO Lavrov: confrontation bet. nuclear powers must be avoided News Iran Summons French Ambassador over Foreign Minister Remarks News Aboul Gheit Condemns Israeli Escalation in West Bank News Greek PM: Athens Plays Key Role in Improving Energy Security in Region News One Person Injured in Explosion at Ukrainian Embassy in Madrid News Israeli-Linked Hadassah Clinic in Moscow Treats Wounded Iranian IRGC Fighters News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Videos & Features Tragedy Overshadows MC Alger Championship Celebration: One Fan Dead, 11 Injured After Stadium Fall Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt Arts & Culture South Korean Actress Kang Seo-ha Dies at 31 after Cancer Battle News "Tensions Escalate: Iran Probes Allegations of Indian Tech Collaboration with Israeli Intelligence" News Flights suspended at Port Sudan Airport after Drone Attacks Arts & Culture Hawass Foundation Launches 1st Course to Teach Ancient Egyptian Language Sports Get to Know 2025 WWE Evolution Results
Egypt Independent
5 hours ago
- Egypt Independent
Lamees al-Hadidy departs United Media Services
United Media Services (UMS) announced yesterday that its contract with prominent journalist and TV presenter Lamees al- Hadidy has concluded. In a statement, UMS said: 'After a journey spanning five consecutive years, United Media Services and Lamees al-Hadidy have mutually agreed not to renew the contract for the upcoming period.' The statement added: 'The company wishes Lamees al-Hadidy continued success, advancement, and prosperity.' Al-Hadidy responded to the UMS announcement in her first public comment on the termination of her contract for the program 'Kalema Akheera' (Last Word) on the ON channel. On her official X (formerly Twitter) account, she wrote: 'I conclude years of work with UMS, proud of the professional work I presented, through which I tried—to the best of my ability—to offer what befits the Egyptian audience. I thank the wonderful team that accompanied me throughout my long journalistic career across various screens. I thank my great audience—those who agreed with me and those who disagreed—for their support, love, assistance, and also their criticism. For you, we work; from you, we learn; and with you, we continue. And to a new journalistic and media experience soon.' Born in Cairo on November 8, 1969, Al-Hadidy earned her degree in Economics and Political Science from the American University in Cairo. She further specialized in her field by earning a Master's degree in Television Journalism. Al-Hadidy's extensive career in media began in 1987 at the American network NBC. She then spent three years as a correspondent for the New York Times channel. Her international experience continued with a tenure at MBC from 1994 to 1999, followed by CNBC from 1995 to 2009. Transitioning into print media, she took on the role of Editor-in-Chief for Al-Alam Al-Youm, an economic newspaper. Throughout her career on Egyptian television, al-Hadidy hosted a variety of programs, including 'Etkallem,' 'Mane' wa Mamnou',' 'El Ekhteyar El As'ab,' 'Min Qalb Masr,' and 'Feesh wa Tashbeeh.' Following the January 25th Revolution in 2011, she joined the CBC network, where she hosted 'Nuss El Haqeeqa' (Half the Truth) before leading the daily program 'Hona El Assema' (Here is the Capital). A testament to her impactful journalistic journey, al-Hadidy has interviewed numerous globally significant figures. Among the most prominent personalities she has hosted are Hillary Clinton, Tony Blair, Mahmoud Abbas (Abu Mazen), Khaled Meshaal, and Magdi Yacoub.
See - Sada Elbalad
9 hours ago
- See - Sada Elbalad
Goldman Sachs: Egyptian Pound Undervalued by 30%
Taarek Refaat Goldman Sachs urges a short position on USD/EGP, forecasting further gains for the Egyptian pound, amid improving macroeconomic indicators and rising market confidence in the North African Country. In a newly released report, Goldman Sachs has declared the Egyptian pound (EGP) is significantly undervalued—by approximately 30%—and has reiterated its recommendation to short the U.S. dollar against the pound, citing improving fundamentals and market sentiment. The American investment bank emphasized that the recent strengthening of Egypt's foreign reserves and a sharp turnaround in the banking sector's net foreign asset position are crucial tailwinds for the local currency. As of May 2025, net foreign assets had swung to a $4.8 billion surplus, a stark reversal from a $17.6 billion deficit recorded at the beginning of 2023. Since Egypt's March 2024 devaluation, the pound has maintained a stable trajectory. Goldman noted the disappearance of the parallel market premium—a persistent challenge in previous years—as a key indicator of renewed investor confidence in Egypt's exchange rate policy. 'The narrowing gap between the official and parallel exchange rates signals restored credibility in monetary management, despite ongoing geopolitical tensions in the region,' the report stated. According to the bank's valuation models, the EGP is now the second most undervalued currency among frontier markets, and is expected to remain so by around 25% over the next 12 months—provided the current spot rate holds. Goldman Sachs has therefore renewed its Short USD/EGP recommendation, targeting a 5% return, with a stop-loss threshold set at -2.5%. The move reflects growing optimism in Egypt's ability to sustain foreign investment inflows and macroeconomic stability. As of Thursday's trading session, the official rate for the U.S. dollar stood at EGP 49.36 for buying and EGP 49.50 for selling, according to the Central Bank of Egypt. The highest rate was recorded at Crédit Agricole at EGP 49.41/49.51, while the lowest was at Housing and Development Bank at EGP 49.35/49.45. This comes as Egypt's Prime Minister Mostafa Madbouly confirmed the government's commitment to settling $1.4 billion in overdue payments to foreign oil companies by the end of 2025, further boosting investor confidence in Egypt's external obligations. With portfolio investment flows rebounding and FX reserves on the rise, analysts suggest that the pound could outperform regional peers if current trends persist—marking a potential turning point after years of currency turbulence. Egyptian Pound read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News Israeli-Linked Hadassah Clinic in Moscow Treats Wounded Iranian IRGC Fighters News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Videos & Features Tragedy Overshadows MC Alger Championship Celebration: One Fan Dead, 11 Injured After Stadium Fall Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt Arts & Culture South Korean Actress Kang Seo-ha Dies at 31 after Cancer Battle News "Tensions Escalate: Iran Probes Allegations of Indian Tech Collaboration with Israeli Intelligence" News Flights suspended at Port Sudan Airport after Drone Attacks Arts & Culture Hawass Foundation Launches 1st Course to Teach Ancient Egyptian Language Sports Get to Know 2025 WWE Evolution Results
