Thursday, 7 July 2016

Brexit: France overtakes Britain as world’s 5th largest economy

Brexit: France overtakes Britain as world’s 5th largest economy

France has overtaken Britain to take fifth place on the list of the world’s largest economies after the pound slumped to a fresh 31-year low following last month’s Brexit vote.

The pound has fallen by about 14 per cent against the dollar since it hit $1.50 ahead of the referendum result, and has fallen 0.9 per cent against the euro to €1.1656 on Wednesday.
The fall against the euro – to the lowest level since 2013 – puts the value of France’s gross domestic product for 2015 slightly ahead of Britain’s according to one measure.
GDP is normally calculated over a year using average exchange rates, but if the rate for Wednesday is used France’s official GDP of 2.182 trillion euros would surpass Britain’s 2.172 trillion euros, Reuters reported.

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