What Brexit Means for the EU and its Partners - Editorial

What Brexit Means for the EU and its Partners - Editorial

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.

· 5 min read

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

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.

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

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

A Structural Exit

  1. This agreement drafts the specific terms of the United Kingdom (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 in the EU’s Single Market and customs union, and 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, providing inputs to the EU’s budget, and following EU laws and policies as before.
Ireland UK Border
Photo by Jaime Casap / Unsplash

Element of Continuity

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

United Kingdoms' (UK) exit from the EU comes with a bundle or series of exits from various sectors, such as exits from bundle international agreements commenced by or on behalf of the 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 approve 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.

Anti Brexit demo
Photo by Andy Newton / Unsplash

The EU member states and the U.K. are held by the rich history, geography, cultural 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 defense, segments where the U.K. has extensive experiences and assets that are best employed as a part of a joint effort.

Not Going Well (Is It!)
Photo by John Cameron / Unsplash

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 on the key regional and global platforms, 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) stands strong on the collective concept of “we are stronger together”; sharing our resources and joint initiatives seem the best way of achieving the common agenda and EU goal.
  5. Brexit doesn't hamper this partnership of the EU, and can still continue as European Union (EU) has 27 members Union. These 27 Member States (EU) will still make, up to one single market of 450 million citizens (Europeans) and close to 20 million businesses in Europe, making the EU an important trading point in the world, together they still form the planet's only biggest development aid, donor.
London, March 2019. Stop Brexit March. Strong and Stable...
Photo by Sandro Cenni / Unsplash

Brexit “with respect to” India

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

Several Union Jack's on the roof of a house in London.
Photo by Paul Fiedler / Unsplash
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 hindrances and to 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 the Brexit deal, hence many businesses are already moving to the neighboring country Republic of Ireland.

Conclusion

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

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