IMF proposes new bank taxes

The International Monetary Fund has proposed a series of new taxes on financial institutions to help pay for future bailouts.

Under the proposal, all banks would pay a tax, called a "financial stability contribution", as well as further taxes on profits and compensation, BBC News said.

The move is seen as being drastically more radical than expected from the IMF, which typically supports the free flow of markets, the New York Times said.

The proposals are likely be explosive political issues, especially in the United States and United Kingdom, BBC News said.