LONDON – IMF In Favour Of Extension In Post-Brexit Talks. IMF head Kristalina Georgieva, on Thursday, suggested that Britain and EU should extend their deadline on post-Brexit deal in the face of coronavirus uncertainty.
According to details, the head of the International Monetary Fund warned the global economy faced its worst recession in a century over the coronavirus. She said her advice would be to seek ways in which this element of uncertainty is reduced. Which is in the interests of everybody including the UK, the EU, and the whole world.
I really hope that all policymakers everywhere would be thinking about reducing uncertainty. It is tough as it is, let’s not make it any tougher, Georgieva added.
Meanwhile, the IMF has warned that the coronavirus pandemic is pushing the global economy into deepest recession in one hundred years. Cutting world output by three percent in 2020, and cautioned that the crisis could get even worse.
British and European Union officials meanwhile have agreed to schedule three new rounds of post-Brexit trade talks. They will start next week by video conference, after the coronavirus epidemic disrupted negotiations.
However EU negotiator Michel Barnier and UK counterpart David Frost made a joint statment about this. Which makes no mention of postponing Britain’s transition out of EU.
Britain says that extending the transition would simply prolong the negotiations, hence prolong business uncertainty. It would also keep UK bound by EU guidelines of legislation. This at a time when UK need legislative and economic flexibility to manage the UK response to the coronavirus pandemic.
The British economy could shrink by 13 percent this year in the case of a three-month lockdown, according to the government.
IMF In Favour Of Extension In Post-Brexit Talks.