British charity Oxfam claims that the practices of tax havens across the world are costing emerging nations some $50 billion in lost revenues annually, which it says it almost equal to the global development aid budget.

As one of the world's largest offshore banking centres, Switzerland in particular has been singled out for criticism by the campaign. "The amount held in Swiss banks in untaxed accounts adds up to five times more than the money Switzerland spends each year on development aid," Andreas Missbach of the Berne Declaration told the Swissinfo news service recently.

Missbach has urged the Swiss authorities to seek agreements with developing countries regarding savings tax and exchange of information, similar to the process currently being negotiated with the European Union.

The Berne Delegation says the problem has gotten particularly acute in the last twenty years, claiming that half of all financial transactions come into contact with a low tax jurisdiction at some point.

"It’s a systemic problem of the financial sector and we need both binding international rules to control the flow of capital, as well as legislative change in countries like Switzerland," said Missbach to Swissinfo.

Former economic advisor to the Channel Islands, John Christiansen concurs with the NGO's views, observing: "Tax evasion has reached almost crisis levels in many parts of world such as Africa, southeast Asia and especially in Latin America, where tax avoidance is endemic through virtually every economy."

Christiansen is of the opinion that tax evasion is not simply an economic issue, but a moral and democratic one also.

Concludes Christiansen: "Tax evasion and other harmful financial practices are increasing social instability in developing world and possibly eventually even in the developed world. So is it right for these economies to act in such a harmful way?"