What Brexit Means for the EU and its Partners - Editorial

What Brexit Means for the EU and its Partners - Background Context 

On Friday, January 31, 2020 the United Kingdom (UK) finally left the European Union (EU).

Great Britain has apparently left the European Union (EU) and has officially become the first country to depart from or withdraw from the 28-member EU bloc.

What Brexit Means for the EU and its Partners

Nonetheless, India has always admired the sovereign resolution of 52% of the British electorate, and that we now we are optimistic and excited to start a new chapter in our Indian & United Kingdom relationships.

A Structural Exit 

  1. This agreement drafts the specific terms of the United Kingdom a(UK) and the European Union (EU) relationship soon after Brexit, but currently unclear, on what policies the United Kingdom and European Union (EU) future relationship be held upon.
  2. The UK and the EU managed to agree on a Brexit transition period, i.e. until the end of 2020, during this transition period, the UK will still participate the EU’s Single Market and customs union, and to enjoy EU laws and policies, albeit it's not a Member State.
  3. During the transition time, the U.K. also will have to follow the international agreements of the EU.
  4. A key aspect and notable part of the withdrawal accord was, the transition period, agreed until the end of 2020.
  5. The agreement or transitional accord is designed to make the withdrawal process sorted and hustle-free and it included topics like trade, law, and most importantly immigration.
  6. The transition accord will allow them to put in place all the small policies of their would-be relationship including a potential trade deal.
  7. During the transition time-frame, the United Kingdom (UK) will be separated from the European Union (EU) and thus, not be on EU bodies anymore but may still have an equivalent commitment and responsibility as an EU member.
  8. That includes being the part of EU single market and customs union, provide inputs to the EU’s budget and following EU laws and policies as before.

Element of Continuity 

So, with the transition timeline agreed and practised, there's a degree of continuity. This wasn't straightforward given the vastness and enormity of the task.

United Kingdoms (UK) exit from EU come with a bundle or series of exits from various sectors, such as exits from bundle international agreements commenced by or on behalf of EU to benefit its member states, on subjects such as international and domestic trade, nuclear cooperation, aviation or maybe even fisheries.

Both parties need to establish a fresh new partnership between the United Kingdom (UK) and European Union (EU). Work upon this may start as soon as the remaining 27 member states of the EU approves the negotiations directives recommended by the European Commission, putting in place the policy terms and aspirations (objectives) to pull off the potential new partnership with former member and country which may remain EU ally, trade partner and closest friend.

brexit infographic


Shared and Deep links 

The EU member states and the U.K. are held by the rich history, by geography, culture similarities and differences, apportion values and principles and a robust belief in rules-based multilateralism.

Their partnership will demonstrate these deep links and apportion (shared) beliefs.

They need to climb-up and travel well beyond trade deals and keep working as joint forces on security and defence, segments where the U.K. has extensive experiences and assets that are best employed as a part of a joint effort.

Collective Responses for Transcendental Challenges 

  1. In a world of massive challenges and alter, of confusion and transition, all the respective countries must consult one another, gain trust and cooperate, bilaterally and in the key regional and global platform, like the World Trade Organization (WTO), United Nations (UN), the North Atlantic Treaty Organization (NATO) or the G20 summit.
  2. However, it may be very common but the essential truth is that today’s global challenges - from global climate change to highly developed cybercrime, global terrorism and overall inequality - require collective and uniform responses.
  3. If the U.K. effectively, is in a position to work in lockstep with the European Union (EU) and alongside partners around the world, the greater our possibility of addressing these issues and challenges effectively.
  4. The European Union (EU) stand strong on the collective concept of “we are stronger together”; that sharing our resources and joint initiatives seems the best way of achieving the common agenda and EU goal.
  5. Brexit doesn't hamper this partnership of EU, and can still continue as European Union (EU) as 27 member Union. These 27 Member States (EU) will still make, one single market of 450 million citizens (Europeans) and close to 20 million businesses in Europe, making the EU important trading point in the world, together they still form planets only biggest development aid donor.

Brexit “with respect to” India 

The United Kingdom (UK) is one amongst G20 nations and the most important investors in India. Hence, it's important to ascertain how India and the U.K. can navigate through Brexit deal and get into a new trade accord that is interdependent to both economies.

Brexit may directly influence and affect not only the Indian stock exchange but the worldwide market in totality, including the blooming economies and markets in the world. This is often due to the high volatility within the UKs sterling pound.

U.K. and EU take care of, 23.7% of Rupee’s successful rate of exchange. With Brexit, Foreign Direct Investments (FDI) and other investment will outflow and may temporarily weakening of the rupee values on the global currency index.

India’s businesses located in the United Kingdom (UK) may be hampered and face hindrance and as till date that they enjoyed border-free connections and access to the rest of Europe, this situation may change abruptly very soon. Not all businesses welcome Brexit deal, hence many businesses are already moving to the neighbouring country Republic of Ireland.

Conclusion 

EU partners are often sure that they're going to stay faithful an ambitious, outward-looking agenda — let be it on cross borders trade and investment, mitigate climate change, on ease of connectivity, on national security and counter-terrorism, on equality and human rights and democracy, or on defence trade & practice and policies.

After Brexit event, European Union (EU) positively made and statement, that “European Union (EU) will still live up to our commitments. European Union (EU) still stand by the agreements that link us to our international partners and that we will still develop multilateral cooperation frameworks round the Globe.” 

The European Union (EU) will still be a companion or partner (an associate) the world can trust. A committed defender of protocol-based multilateralism, working with our partners to form the planet safer and fair market place. 

Post a Comment

Should you need any further information, please do not hesitate to contact us.

Previous Post Next Post