BREXIT compromises Mozambique’s access to the European market

brexit_mozambique

During the course of the week 13 to 20 January, British Prime Minister Theresa May presented a plan for the impending exit of the UK from the European Union. One of the most contentious and speculative questions since the vote last year was whether Britain would continue to be part of the European common market. But the Prime Minister was categorical: this is not going to happen.

“Staying in the market would mean accepting the bloc’s regulations without having a voice in their establishment”, said the Prime Minister, vowing nevertheless to push for maximum access to the European market.

According to Prime Minister May, participating in the customs union (free trade area with common external tariffs) would prevent the UK from negotiating its own agreements with other countries.

Aid reduction for Africa:

The United Kingdom is (for the time being) a member of the European Union, one of the donors of the Mozambican State Budget and financier of several social and other initiatives. The EU has established a common market through a standardized system of laws applicable to all Member States.

“Given the UK’s position in the EU, as one of the most consistent donors, but also as one of the countries that contributes the most to the EU budget for aid and development, the exit would have a substantial impact not only on the amount given in development aid for sub-Saharan Africa, but also in how it is spent and its effectiveness”, says Uzo Madu, a British analyst of Nigerian descent.

Impact on trade for Africa and Mozambique:

Currently, trade relations between the EU and Africa are set out in the Cotonou Agreement, signed in 2000, and a series of Economic Partnership Agreements between the EU and the Regional Economic Communities.

When leaving the EU, the UK will not have any obligations with the laws of the organization; and its economic or political relationship with other countries – including Mozambique – will be independent and may undergo a possible restructuring to change the regulations in force by the European body.

Source: O País/Deutsche Welle
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