Draghi: Brexit could cut Euro GDP by as much as 0.5% - ANZ

Research Team at ANZ, notes that the ECB President Mario Draghi said that Brexit could cut Euro GDP by as much as 0.5% with the effect lasting three years.

Key Quotes

“He added that Brexit may lead to competitive devaluations. Separately, at the emergency meeting in Brussels, frustration by EU leaders is becoming apparent as we are currently in a state of limbo.

Cameron has said the EU withdrawal process is for his successor to make, however the new party leader is not expected to be selected till September. “The uncertainty we have right now is no good for anyone,” Swedish Prime Minister Stefan Loefven said. “We’re all waiting to get a clear answer,” said Danish Prime Minister Lars Loekke Rasmussen.”