Canadian CIBC bank CEO urges government to grow revenues through investment rather than taxes

© . FILE PHOTO: The new Canadian Imperial Bank of Commerce (CIBC) logo is seen on a building in Toronto, Ontario, Canada, Sept. 27, 2021. REUTERS/Chris Helgren TORONTO () – Chief Executive Officer of Canadian Imperial Bank of Commerce (CIBC) Victor Dodig on Thursday called on policymakers to focus on generating revenue through investing in growth rather than through taxes. Dodig’s prepared remarks at the bank’s annual shareholders’ meeting come as the Liberal government of Justin Trudeau is expected to outline details on Thursday of a plan to tax banks’ profits in its annual budget. Dodig’s did not specifically refer to the tax, but when it was first proposed in August, he emphasized the need to grow the economy and safeguard foreign direct investment. With interest rates rising and government debt to be repaid, governments will have to generate revenue, he said in prepared remarks at the shareholders’ meeting. “You can tax your way to that income, or grow your way there by creating a more productive economy that generates more wealth for everyone,” he said. “We believe that investing in economic growth is the best way forward for everyone. We must choose our path, and fast.” Brian Porter, CEO of the Bank of Nova Scotia, criticized the bank tax on Tuesday as a “knee-shock response.” Dodig called on Canada not only to lead the way in growing areas of technology, including artificial intelligence and cybersecurity, but also to be a “global leader in tomorrow’s energy sector.”

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