The United Kingdom and the European Union should make every effort to ensure that a free trade agreement is reached between the two entities by the end of the current Brexit transition period, the International Monetary Fund's (IMF) managing director, Kristalina Georgieva, said on Thursday
MOSCOW (Pakistan Point News / Sputnik - 29th October, 2020) The United Kingdom and the European Union should make every effort to ensure that a free trade agreement is reached between the two entities by the end of the current Brexit transition period, the International Monetary Fund's (IMF) managing director, Kristalina Georgieva, said on Thursday.
"Turning to the ongoing post-Brexit trade discussions, we strongly encourage the UK and EU authorities to make every effort to reach an agreement. Progress on a range of issues has been made over the past year, and there is room for a compromise beneficial to both sides," Georgieva said at an IMF press briefing.
Any free trade agreement would provide clarity and reduce economic risks, the IMF managing director stated, adding that it was vital to protect the economy from any potential shocks while the COVID-19 pandemic was still causing disruption.
"A solution will remove important downside risks from the outlook at a time when risks are so high because of the pandemic, and regardless of the outcome, it will be important to prepare the economy, the firms, the people, for what the next year will look like," Georgieva stated.
The United Kingdom officially left the European Union on January 31, triggering an 11-month transition period that was established to give negotiators from London and Brussels time to conclude a range of agreements, including a wide-ranging free trade deal.
Negotiations are still ongoing as the UK and EU continue to disagree on several key issues, including governance, fisheries, and the level playing field, the set of common rules and standards that prevents companies in one country from undercutting another.
The Brexit transition period is scheduled to end on December 31.
