Emirates Airline Chief Warns of Brexit Impact on Europe
June 03 2016 - 4:30AM
Dow Jones News
DUBLIN—Emirates Airline President Tim Clark said a British exit
from the European Union could send the European single currency
into "free fall."
While most European airline executives have focused on the
ramifications on the U.K. economy from a vote to leave, Mr. Clark
said "my concern is what would happen not so much to the U.K., but
the rest of the European Union."
The U.K. is set to vote on June 23 in a referendum on whether to
remain in the EU or exit.
Mr. Clark said a British exit could compound economic woes in
continental Europe, potentially depressing demand and undermining
the value of the euro.
"Europe will be shocked and stunned by what happens," he said at
the sidelines of the annual meeting of International Air Transport
Association.
Potential instability and volatility triggered by a so-called
Brexit are a big concern for airlines, Mr. Clark said.
Michael O'Leary, Chief Executive of Europe's biggest budget
airline Ryanair Holdings PLC as been lobbying for the U.K. to
remain in the European trade group. He has said an exit could slow
economic growth and make the U.K. less attractive for future
investments.
As for the U.S. presidential election, Mr. Clark said he viewed
the possibility of a victory by Donald Trump, the presumptive
Republican Party nominee, as good news for the dollar even though
demand in the U.S. could soften in the run-up to the vote.
A Trump presidency could boost the dollar and would "strengthen
the economy in many ways." Mr. Clark said he viewed Mr. Trump as "a
man of business" despite the heated rhetoric during the
campaign.
Write to Robert Wall at robert.wall@wsj.com
(END) Dow Jones Newswires
June 03, 2016 04:15 ET (08:15 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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