The governor of the Bank of France stated that Britain’s withdrawal from the European Union has brought France nearly 2,500 jobs and “at least 170 billion euros in assets”.
London remains the most important financial center on the European continent, but Amsterdam, Dublin, Frankfurt, and Paris are all competing to attract companies that want to remain active in the 19 euro zone countries.
The new coronavirus pandemic has made the promotion of business activities even more important because it has a serious impact on the economy.
Francois Villeroy de Galhau, President of the Bank of France, said at a press conference: “Despite the spread of the epidemic, nearly 2,500 jobs have been transferred. About 50 British entities have authorized at least 170 billion euros (1,500 million) by the end of 2020. Billion pounds) assets transferred to France.” He added: “It is expected that more assets will be transferred this year.”
de Galhau said that, in particular, Brexit forced Europe to develop financial autonomy. The European Union will allow the London Clearing House to operate across the European continent for 18 months, because the European Union itself does not have a similar institution. Once the deadline expires, in theory, financial transactions in euros must be settled within the EU.
“A true’financing alliance’ must enable us to better mobilize surplus savings,” de Galhau said. He urged to use the opportunity provided by Brexit to create a functional “capital market alliance” in the EU.