France activates plan for no-deal Brexit

French Prime Minister Edouard Philippe announced the French government has activated its plans for handling the effects of a no-deal Brexit, which has become “less and less unlikely.” (AFP)
Updated 17 January 2019

France activates plan for no-deal Brexit

  • The plan provides for 50 million euros ($56 million) of investment in French ports and airports
  • “We want to be ready to protect the interests of our citizens,” said the prime minister

PARIS: The French government has activated its plans for handling the effects of a no-deal Brexit, which has become “less and less unlikely,” Prime Minister Edouard Philippe said Thursday.
Speaking after a ministerial meeting called to discuss the British parliament’s rejection of the divorce deal negotiated with the EU, Philippe said: “I have taken the decision to activate the plan for a no-deal Brexit.”
The plan provides for 50 million euros ($56 million) of investment in French ports and airports, “which are obviously the places most affected by the changes needed” in the event of Britain crashing out of the EU without a deal.
“In some ports that will be the construction of car parks, in others it will be the establishment of infrastructure for carrying out checks,” Philippe said.
France had already planned on recruiting extra customs staff and veterinary inspectors.
The French parliament is on Thursday expected to complete the adoption of a bill allowing the government to take decisions by decree if necessary following a no-deal Brexit, which could create potentially chaotic scenes on both sides of the Channel.
“We want to be ready to protect the interests of our citizens,” Philippe said.
“Our objective is at the same time to respect our obligations, to make sure that the lives of our citizens and, in a way, British citizens living in France, are impacted as little as possible,” he added.


Africa development bank says risks to continent’s growth ‘increasing by the day’

Updated 37 min 26 sec ago

Africa development bank says risks to continent’s growth ‘increasing by the day’

  • The trade dispute between US and China has roiled global markets and unnerved investors
  • African nations need to boost trade with each other to cushion the impact of external shocks

DAR ES SALAAM: The US-China trade war and uncertainty over Brexit pose risks to Africa’s economic prospects that are “increasing by the day,” the head of the African Development Bank (AfDB) told Reuters.
The trade dispute between the world’s two largest economies has roiled global markets and unnerved investors as it stretches into its second year with no end in sight.
Britain, meanwhile, appears to be on course to leave the European Union on Oct. 31 without a transition deal, which economists fear could severely disrupt trade flows.
Akinwumi Adesina, president of the AfDB, said the bank could review its economic growth projection for Africa — of 4 percent in 2019 and 4.1 percent in 2020 — if global external shocks accelerate.
“We normally revise this depending on global external shocks that could slowdown global growth and these issues are increasing by the day,” Adesina told Reuters late on Saturday on the sidelines of the Southern African Development Community meeting in Tanzania’s commercial capital Dar es Salaam.
“You have Brexit, you also have the recent challenges between Pakistan and India that have flared off there, plus you have the trade war between the United States and China. All these things can combine to slow global growth, with implications for African countries.”
The bank chief said African nations need to boost trade with each other and add value to agricultural produce to cushion the impact of external shocks.
“I think the trade war has significantly impacted economic growth prospects in China and therefore import demand from China has fallen significantly and so demand for products and raw materials from Africa will only fall even further,” he said.
“It will also have another effect with regard to China’s own outward-bound investments on the continent,” he added, saying these could also affect official development assistance.
Adesina said a continental free-trade zone launched last month, the African Continental Free Trade Area, could help speed up economic growth and development, but African nations needed to remove non-tariff barriers to boost trade.
“The countries that have always been facing lower volatilities have always been the ones that do a lot more in terms of regional trade and do not rely on exports of raw materials,” Adesina said.
“The challenges cannot be solved unless all the barriers come down. Free mobility of labor, free mobility of capital and free mobility of people.”