Sarkozy announced financial tax

French President Nicolas Sarkozy has announced plans to introduce a tax on financial transactions.

The point 1 per cent levy will be introduced in August regardless of whether other European countries follow suit.

The tax is part of a package of measures set out by the president to promote growth and create jobs.

Sarkozy faced a presidential election in April, but is currently trailing in the opinion polls behind his Socialist rival, Francois Hollande.

In an interview with French television, Sarkozy said he hoped the tax would push other countries to take action.