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This content was published on September 11, 2018 at 05:46
Worry about a "hard" Brexit without a follow-up agreement on the European capital markets, on the picture the skyline of Frankfurt.
KEYSTONE / PETER KLAUNZER
The German banks warn of chaos on the financial markets in the case of an unregulated Brexit. Progress in the negotiations on the exit of Great Britain from the EU planned for the end of March 2019 is urgently needed.
Without a follow-up agreement, "there are threats to disruption on the European capital markets – not just in London, but also in Frankfurt, Paris and Amsterdam," said the president of the German banking association BdB, Andreas Krautscheid, the editorial network Germany. "Brexit employs most of our member banks and everyone's concerns grow," stressed Krautscheid.
He pointed out that many complex capital market transactions go through London. "Every night, millions of records are transferred between London and the continent," Krautscheid explains.
"Without a Brexit agreement or a transitional regime, the cables should be cut from one day to the next at the end of March, because the European General Data Protection Regulation does not allow the exchange of data with a third country." This can have significant consequences, not only for the financial sector, but for the entire industry, the representative of the association emphasized.