'Very stupid': Italy's bank tax remains controversial as government scrambles to update it

The Italian government's plans to impose a 40% windfall tax on banks' profits caused significant drops in European bank shares, leading to backlash and concerns from analysts and policymakers over the potential negative impact on international investors.

cnbc.com

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8/23/2023

After plunging into the political mainstream, Italy's far-right leader Giorgia Meloni is now shocking markets and upsetting big business

Italian Prime Minister Giorgia Meloni has surprised traders with a proposal to impose a windfall tax on banks, leading to a drop in Europe's main banking index. However, analysts do not believe this move indicates a shift towards populism and expect Meloni to continue with gradual fiscal adjustment policies. The Italian government is also facing potential controversies surrounding the upcoming budget and delays in receiving EU funds.

9/22/2023

Hungarian Leaders Clash Over High Inflation and Economic Policies

Hungary's central bank signals caution on further rate cuts and the government considers a new tax on banks to counteract a drop in tax revenue caused by high inflation in the European Union.