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EU After Brexit: Like 20 Fewer Economies

The drop from EU-28 to EU-27 will be a big one in terms of GDP lost.

April 21, 2017

The drop from EU-28 to EU-27 will be a big one in terms of GDP lost.

1. Much of the international discussion about the ramifications of Brexit has focused on how leaving the European Union will change Britain.

2. However, there will also be significant changes for the EU.

3. The EU’s economy will shrink by close to its 20 smallest national economies with the departure of the UK.

4. The nominal GDP of the European Union in 2015 was $16.3 trillion, according to the World Bank.

5. The United Kingdom accounted for $2.9 trillion – or 18% — of that total.

6. The UK’s GDP in 2015 was about equal to the $2.9 trillion combined GDP of the 20 smallest EU member economies – from Malta to Belgium.

7. The economy of the EU without the UK totals $13.4 trillion (as of 2015).

8. By itself, the UK economy is somewhat larger than France’s economy ($2.4 trillion).

9. France will become the second-largest after the UK’s exit from the EU.

10. Germany ($3.4 trillion) will remain the largest economy in the EU.

Sources: The Globalist Research Center, World Bank

Takeaways

EU’s economy will shrink by close to its 20 smallest national economies with the departure of the UK.

France will become the second-largest economy after the UK’s exit from the EU. Germany remains the largest.