Global Banks

global banks: Without these rights, we see a risk that enough major global banks could choose to route their business through other European financial centers, said the report published Tuesday, according to Russia Today. HSBC to shed 50,000 jobs, close businesses in Brazil &Turkey The report says London would still keep its status as a global financial centre should Britain leave the EU, dubbed the ‘Brexit’. It would hit the UK economy as financial services provide about 1.4 million jobs and attract a huge portion of the foreign direct investment , S&P added. Paris, Dublin or Frankfurt are possible new banks use their UK authorization to provide banking and trading services across the EU and European Economic Area, known as passporting rights. Financial services attract 30 percent of the inward foreign direct investment into the UK, equivalent to 17 percent of GDP. Nearly one half of the FDI into the UK financial services sector comes from EU investors, said the report. The impact crucially depends on what alternative free trade arrangements the UK government could provide to its EU partners if it leaves, Gill added. Brexit could result in great damage to the UK current net trade surplus in insurance and financial services of more than 3 percent of GDP, said Standard & Poor credit analyst Frank Gill. (news.financializer.com). As reported in the news.