Brexit: IMF head predicts EU influx of financial firms

Europe must prepare for an influx of financial firms after Brexit, the head of the International Monetary Fund has said.
By The Newsroom
Published 25th Jun 2018, 10:56 BST
Updated 25th Jun 2018, 10:59 BST
International Monetary Fund (IMF) managing director Christine Lagarde. Photo credit: Stefan Rousseau/PA WireInternational Monetary Fund (IMF) managing director Christine Lagarde. Photo credit: Stefan Rousseau/PA Wire
International Monetary Fund (IMF) managing director Christine Lagarde. Photo credit: Stefan Rousseau/PA Wire

Predicting a mass relocation to the continent and Ireland when the UK leaves the European Union, Christine Lagarde stressed the need to enhance the EU’s regulatory and supervisory capacity in preparation.

Ms Lagarde was in Dublin to open an event to mark 20 years since the adoption of the Euro single currency.

Hide Ad
Hide Ad

“We meet at a moment when the EU and euro area are in the midst of difficult decisions about their future,” the IMF managing director said.

“Populist movements - from Brexit to the recent Italian elections - have called into question the value of European integration.”

Recommending steps to make the eurozone more resilient to future financial turbulence, she said: “The euro area needs truly integrated financial and capital markets that allow companies to raise financing across borders more easily and support investment.

“In the near-term, it is critical to ensure that regulatory and supervisory capacities are prepared for the influx of financial firms that will move to continental Europe - and Ireland - as a result of Brexit.”

Hide Ad
Hide Ad

The Euro at 20 conference was jointly hosted by the IMF and the Central Bank of Ireland.

Ms Lagarde’s visit to Dublin also includes a scheduled meeting with Taoiseach Leo Varadkar at Government Buildings.

Related topics:BrexitEuropeIreland