British Growth To Nearly Halve In 2017 Due To Brexit: EU
Mohammad Ali (@ChaudhryMAli88) Published November 09, 2016 | 05:00 PM
BRUSSELS, Nov 9, (UrduPoint / Pakistan Point News - 09th Nov, 2016 ) - The European Union on Wednesday nearly halved its economic growth outlook for Britain in 2017 due to the impact of the Brexit vote to leave the bloc.
"Growth is projected to almost halve in 2017, to 1.0 percent, (from 1.9 percent in 2016) reflecting the impact of heightened uncertainty following the referendum and its impact on business confidence and broader economic conditions," the EU said in its autumn economic forecasts.
British economic growth is however expected to edge up slightly in 2018 to 1.2 percent because of a rise in exports even as domestic demand remains low, the EU said. "Uncertainty is likely to remain high as negotiations on the future relationship between the UK and EU continue, impeding the extent of the rise in growth in 2018," it said.
Britain voted to leave the EU in a referendum on June 23. Prime Minister Theresa May has said she will formally trigger the two-year divorce process by the end of March 2017 but Brussels and London face gruelling negotiations on a future trade deal.
The EU forecast warned that the uncertainty was also likely to harm the wider economy of the 19-nation eurozone which had so far "shrugged off" the impact of Brexit. "What has already been observed is a sharp increase in uncertainty, which is expected to hamper economic dynamics primarily in the UK but also in the EU," it said.
Related Topics
Recent Stories
Pakistan marks World Press Freedom Day
High-level Saudi business delegation due on May 5
Stocks heat up as US labour market cools
President approves Tax Laws (Amendment) Bill 2024
Implementation of merit, justice to oppressed segments top priorities: CPO
Overseas Kashmir community delegation calls on AJK President, discusses latest s ..
Govt believes in freedom of press: Amir Muqam
Labour urges UK election after Tory losses
Health authorities asked for action against alleged illegal tenders at Services ..
Spain scraps national bullfighting prize sparking debate
Lahore High Court (LHC) Chief Justice Malik Shahzad Ahmad Khan visits Rawalpindi ..
ATC extends interim bail of PTI founder in 3 cases
More Stories From Business
-
CCP approves scheme of arrangement for restructuring of PIACL
8 hours ago -
High-level Saudi business delegation due on May 5
9 hours ago -
Stocks heat up as US labour market cools
9 hours ago -
Planning minister stresses need for establishing digital corridor
10 hours ago -
Burj Solar install Pakistan´s first distributed generation Wind Power project
10 hours ago -
TEVTA’s BoD decides capacity building, adoption of frugality
10 hours ago
-
US hiring slows more than expected in sign of cooler market
10 hours ago -
Stocks heat up as US labour market cools
12 hours ago -
Stocks heat up as US labour market cools
12 hours ago -
US hiring slows more than expected in sign of cooler market
12 hours ago -
PSX turns bullish, gains 1,244 points
13 hours ago -
Finance Minister for measures to enhance tax to GDP ratio
14 hours ago