Bangladesh is likely to gain US$367 million in terms of its export if there is no-deal Brexit, according to a research report of the United Nations Conference on Trade and Development (UNCTAD).
The amount is around 10 per cent of the country’s annual export to the United Kingdom (UK), added the report.
“A no-deal Brexit could damage smaller economies trading with the United Kingdom (UK), hit European Union (EU) exports hard, but bring substantial gains for China,” said the report.
Brexit is known as the UK’s decision to exit from the EU. No-deal Brexit means exiting the EU without a deal.
“UK and its future trading partners need to expedite bilateral deals if they are to avoid the costs of exit the EU without a deal,” it added.
The report mentioned that the UK is an important market for Bangladesh, Belize, Cambodia, Mauritius, Pakistan, and Turkey as five per cent of the total export of each of these countries is to the UK.
“The UK’s intention to lower Most Favored Nations (MFN) tariffs would increase relative competitiveness of major exporting countries, such as China or the United States, thereby eroding market-share away from less competitive countries,” observed the UNCTAD report.
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