EIB loans flow through tax havens, say NGOs

Despite harsh words and threats of tough sanctions against tax dodgers, EU-funded development projects in the third world are run by companies registered in tax havens. This costs developing countries millions in much needed tax revenues and leads to capital flight and lack of transparency, a study by bank-monitoring NGOs says.

The study, "Flying in the face of development- How European Investment Bank loans enable tax havens", released on Wednesday (15 July), says projects and benefici...