Globalisation and Fiscal Policy - Multilateral agreement on a 15% minimum corporate tax rate

The OECD global minimum corporate tax rate has been agreed

136 countries will now have a minimum rate of 15%, including one or two who at first resisted - notably Ireland, Hungary and Estonia.

Ostensibly a good thing, but the devil is in the detail. What will happen to global tax revenues from MNCs? And what are the implications for individual economies?

According to Lionel Barber, former editor of the Financial Times this is "a very big deal which shows multilateralism is not dead - especially when America is prepared to tango."

The Head of the OECD which brought countries together to sign the deal is quoted as saying: "This will make our international tax system fairer and work better. It’s a major victory for effective and balanced multilateralism. It’s a far-reaching agreement which ensures our international tax system is fit for purpose in a digitalised and globalised world economy.'