Establishing a Global Citizen Fund From Revenues of Global Taxation
The recently agreed upon global minimum corporate tax will, from 2023, set a minimum tax rate of 15% on profits of large multinationals. We recommend that such a landmark progress in global taxation cooperation be accompanied by a landmark advancement in global solidarity. We urge G7 countries to devote half of the revenues they will collect from this tax (approximately $75bn) to the establishment of a Global Citizen Fund. The main purpose of such a Fund would be to pay out a universal global basic income equal to the international poverty line of $1.90 daily (adjusted for Purchasing Power Parity). This sum would enable to take approximately 260million poor people worldwide out of poverty (about a third of the people estimated to fall under the poverty line by the World Bank). Such a transfer could be progressively extended to become a global universal basic income. This policy would provide an automatic safety net against the occurrence of major economic shocks and natural hazards, as well as empowering the least advantaged individuals to fully realise their capacities. The now widespread tool of electronic money could be used as a means to provide cash transfers. The Global Citizen Income would be a step forward toward the creation of global social cohesion, and would be the most natural way to tackle the global crises that are looming. It would also be a way for global institutions like the G7 to reclaim trust and legitimacy.