Slovakian government extends bank tax despite ECB warnings
ECB and Slovak central bank warn increased bank levy could endanger financial stability
The European Central Bank has strongly criticised a new Slovakian law that increases and extends a levy on banks that was initially introduced as a temporary measure.
Slovakian lawmakers voted on November 28 to keep the tax on banks indefinitely and double its rate from 0.2% of each bank’s liabilities to 0.4%. The levy was first introduced in 2012. The lawmakers’ decision went against strongly worded advice from both the ECB and the National Bank of Slovakia.
The ECB said on November 26 that
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