Belgian GDP May Decrease By 2.3% In Event Of Hard Brexit - Federation Of Enterprises

In the event of a hard Brexit, a scenario in which the United Kingdom withdraws not only from the European Union, but from the EU Single Market and Customs Union as well, Belgium's GDP may drop by 2.3 percent and over 40,000 jobs could be lost, the Federation of Enterprises in Belgium told Sputnik on Wednesday

BRUSSELS (UrduPoint News / Sputnik - 16th January, 2019) In the event of a hard Brexit, a scenario in which the United Kingdom withdraws not only from the European Union, but from the EU Single Market and Customs Union as well, Belgium's GDP may drop by 2.3 percent and over 40,000 jobs could be lost, the Federation of Enterprises in Belgium told Sputnik on Wednesday.

On Tuesday, the UK parliament rejected Prime Minister Theresa May's withdrawal agreement, thereby increasing the chances of a hard Brexit.

"A hard Brexit creates a risk of the GDP being cut by 2.3 percent and over 40,000 jobs being lost," the federation said.

According to a report that Deloitte released in 2018, Belgium is one of the four EU member states, along with Germany, France, and the Netherlands, for which economical consequences of Brexit can be the most dramatic.

The United Kingdom is one of Belgium's five major economic partners. In 2016 alone, Belgium exported around 32 million Euros (over $36 billion) worth of goods to the United Kingdom, or 9 percent of the nation's total exports for that year.

Belgian Prime Minister Charles Michel pledged on Tuesday to defend his country's companies and guarantee citizens' rights, adding that the government was preparing for Brexit in cooperation with the European Union.