Brexit one of bigger risks to EU economy, says euro zone head

Brexit one of bigger risks to EU economy, says euro zone head

© Luke MacGregor / Reuters

"Brexit is obviously a risk at this moment, and in the short term probably one of the bigger risks to our economy," Eurogroup President Jeroen Dijsselbloem, who is also Dutch finance minister, told reporters after ministers met in Brussels.

He said he sees risks mostly for the British economy, but added he was also "worried" about possible negative effects on the wider European economy, particularly for the 19-member euro zone.

Many economists say a British withdrawal would create uncertainty about future trading arrangements that could dampen investment around Europe, while new barriers to trade between Britain, currently the second biggest EU economy, and the rest could depress economic growth.

(Reporting by Francesco Guarascio; Editing by Alastair Macdonald)

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