Further uncertainty over Brexit will hinder growth in the UK economy, the head of IMF has told the BBC. Speaking ahead of the agreement of an extension to Article 50, Christine Lagarde warned that businesses and investors will remain hesitant in the coming months. She said any prolonged uncertainty would have a negative impact.
The Brexit deal negotiated by the Government of Theresa May and the European Union was rejected on Tuesday for the second time in the British Parliament despite the adjustments that the Prime Minister managed to reach in the European bloc.
The clouds darkened over Europe's slowing economy on Wednesday as the German government slashed its growth forecast and said concerns about a chaotic Brexit and trade tensions were holding back the continent's powerhouse. Germany's Economy Ministry said Wednesday it was cutting its 2018 forecast to 1% from 1.8% in its previous outlook issued last fall.