Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

HSBC: Scottish independence would prompt 'capital flight'  Join our daily free Newsletter

MENAFN - Arab News - 23/08/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Arab News) LONDON: The chairman of banking giant HSBC has warned that uncertainty over the economic future of Scotland could lead to 'capital flight' if it votes to leave the United Kingdom next month.

Writing in British daily The Telegraph HSBC head Douglas Flint said the currency union with England was an 'anchor' for Scotland's stability and leaving it 'would be complex and fraught with danger.'

Flint himself a Scot is the most high-profile business leader to speak out against Scotland leaving the United Kingdom before the September 18 vote.

'Uncertainty over the Scotland's currency arrangements could prompt capital flight from the country leaving its financial system in a parlous state' he wrote in the newspaper.

Currency has been a major part of the debate with the Scottish government saying it would seek to remain part of a formal currency union even as a separate state. Westminster has ruled out such a deal.

A poll published this week found that the majority of English people oppose Scotland continuing to use the pound if it votes to become independent.

If Scotland does back independence it could also choose to set up its own currency attempt to join the euro or continue to use sterling without the Bank of England as lender of last resort.

'In all these circumstances the transition from the existing currency union would be complex and fraught with danger' said Flint.

Introducing a new currency 'would be an enormous challenge for an independent Scotland' and it would take 'many years for the country to establish its credibility' he said.

Choosing an informal link to sterling would also place 'enormous pressure' on Scotland's finances and leave it with no room to maneuver in times of trouble he said.

'In all of these scenarios Scotland's borrowing costs and those of its businesses and consumers would rise at least in the near term' Flint added.

Flint reportedly donated 25000 (41500 31200 euros) to the campaign for a united Britain last year.

 


Arab News




  MENA News Headlines
 May 5 2015 - Spring weather conditions forecast over next three daysJordan News Agency
(MENAFN - Jordan News Agency) A rise in temperatures is expected on Tuesday and the weather will be moderate in most parts of the Kingdom and warm in the Jordan Valley and Aqaba.According to the ...

 May 5 2015 - U.S led-coalition conducts 22 airstrikes against Daesh in IraqJordan News Agency
(MENAFN - Jordan News Agency) Coalition military forces in a statement said it had launched 22 airstrikes against Daesh terrorist gang in Iraq during the past 24 hours.The strikes hit tactical units ...

 May 5 2015 - Israeli forces arrest 11 Palestinians in the West BankJordan News Agency
(MENAFN - Jordan News Agency) Israeli occupation soldiers on Tuesday arrested 11 Palestinians in the West Bank.Palestinian Interior Ministry said that the occupation forces stormed the towns of ...

 May 5 2015 - Red Cross issues 24 travel documents for Syrian refugeesJordan News Agency
(MENAFN - Jordan News Agency) A total of 24 travel documents were issued recently by the International Committee of the Red Cross (ICRC) to Syrian refugees in Jordan who were granted resettlement ...

 May 5 2015 - 7th Jordan AFAQ Economic Forum to be held in Amman next TuesdayJordan News Agency
(MENAFN - Jordan News Agency) The 7th Jordan AFAQ Economic Forum will be held in Amman next Tuesday with the participation of economic and financial experts as well as companies from 10 nations, ...

 May 5 2015 - TAG signs two agreements to promote Italian languageJordan News Agency
(MENAFN - Jordan News Agency) The Talal Abu Ghazaleh (TAG) organization and the Italian Embassy in Jordan signed a cooperation agreement Tuesday to promote the Italian culture and language.Under the ...

 May 5 2015 - IMF expects 3.8% GDP growth in Jordan in 2015Jordan News Agency
(MENAFN - Jordan News Agency) The Regional Economic Outlook Update, released Tuesday in Dubai, projected that Jordan's Gross Domestic Product (GDP) will grow by 3.8 per cent this year and 4.5 per ...

 May 5 2015 - Specialized training course on ethical hacking concludes at RSS in JordanJordan News Agency
(MENAFN - Jordan News Agency) A specialized training course entitled "Certified Ethical Hacking" concluded at the Royal Scientific Society (RSS) Tuesday.The training course, which was held by the ...

 May 5 2015 - UNFPA calls to enhance quality of midwives servicesJordan News Agency
(MENAFN - Jordan News Agency) The Executive Director of the United Nations Population Fund (UNFPA), Babatunde Osotimehin, called for greater investments to increase the number of midwives and enhance ...

 May 5 2015 - VOL 1 - Companies need to balance expectations of all stakeholders: Bharat WakluKNN India
(MENAFN - KNN India) Today's companies need to balance needs, expectations and aspirations of all stakeholders. They should also have a mechanism by which if there is a tie between the expectations ...

more...


 






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help