Black money: Luxembourg offers to send financial experts team

NEW DELHI: Luxembourg, one of the biggest routes for investments into India, today offered to send a team of experts here to brief the government on measures taken by it to curb illegal financial transactions.

The offer was conveyed by Luxembourg Foreign Minister Jean Asselborn to his Indian counterpart Sushma Swaraj when they met here.

The visiting minister explained the accountability and transparency measures that Luxembourg has taken to reform its financial sector, official sources said.

According to official figures, FDI and FII combined Luxembourg was among the top 10 investors in India, they said, adding since 2000, Luxembourg-based funds have invested more than USD 1 billion in India. Luxembourg is used by investors from across the world mainly from the US and Europe for routing their funds into India for tax benefits.

The offer was significant given Indian government's efforts to bring back black money and also punish those evading taxes by keeping illegal accounts abroad.

On her part, Swaraj emphasised on the need to enhance India-Luxembourg investment ties.

The minister also conveyed his country's support for India's candidature as permanent member in the UN Security Council.