UK's Finance Minister pushes G20 against Brexit

By Staff Writer

Feb 26, 2016 04:18 AM EST

George Osborne, UK's Finance Minister, is pushing Group of 20 to warn about the negative consequences of Britain leaving the European Union (EU). Osborne is expected to make it a strong point at G20 meeting in Shanghai.

G20 meeting is scheduled for 26-27 February in Shanghai. George Osborne is supporting for Britain staying in the EU. This is likely to be a major outcome at the G20 finance ministers meeting. However, UK's Finance Ministry didn't comment on this. 

Reuters reports that Chinese officials are concerned about 'Brexit' (Britain Exit) in bilateral meetings with British counterparts. Britain voted to leave EU in a referendum on June 23, 2015. Other officials from several countries are raising this issue with Osborne on the sidelines of G20 meetings. 

A G20 official on a condition of anonymity said "We understand some countries are raising the issue with the Chancellor during‎ bilateral meetings. If they are concerned, then it could end up in the communiqué, though this would be unusual and the British have not put it on the agenda."

The possible exit of Britain from EU led a sharp fall in Sterling Pound for the past few weeks. Some economists opine that Brexit will have major impact on global economy, which is already suffering from sluggish growth. Brexit would also pose several questions to the existence different blocs across the world. 

The UK government has persuaded major business firms to support Britain in staying with EU. The British government has also roped in Bank of England to come out with an independent economic view of the benefits of EU membership.

About 85 percent of global economy is represented by G20 Finance Ministers meeting. The G20 endorsement for Britain to stay with EU is expected to be a major outcome from the meeting, as reported by Financial Times.

UK's Prime Minister David Cameron has taken up a campaign on supporting Britain being part of the EU. London's financial district and major companies are also backing Cameron. Labour Party, trade unions, Scottish nationals and other international allies are  supporting Cameron as well on keeping Britain within the EU. 

Christine Lagarde, Managing Director of International Monetary Fund (IMF), has also warned Britain against Brexit. Lagarde said that global financial and trade agreements and migration within UK and Europe have been supporting GDP growth rate. Brexit would have a negative impact on all fronts, Lagarde claimed,according to CNBC.

Chinese officials during bilateral meetings on Thursday held in Beijing expressed their concerns about Brexit. G20 officials have also indicated a reference to Brexit in the final version as the UK want it to be mentioned. Some officials in London also expressed concerns saying that Brexit would have negative impact on global economy. 

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