Europe's Migrant Crisis Could Exacerbate The Region's Economic Troubles

In recent weeks, the number of migrants from war-torn countries entering the EU has increased exponentially. However, though more and more desperate families are arriving each day to seek asylum in European countries, the region has been unable to come up with a plan to rehouse them all.

The result has been chaotic as some EU nations work to keep migrants from crossing their borders and others set up temporary shelters for the influx of people.

A Logistical Nightmare

This week, Austrian officials set up border checks on the main roads entering the country in order to keep migrants from entering the nation. Austrian officials say the checks are necessary and that without a concrete agreement from the EU nations on how to fairly distribute the influx of migrants, the nation has no other option.

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Political Problems

While the EU works out a way to deal with the migrant crisis, some of the bloc's members are struggling with a rising anti-migrant sentiment. Attacks on migrant camps and demonstrations calling for stricter border controls has created a difficult political landscape for EU policymakers trying to navigate this crisis. Before the crisis began, the EU was already dealing with a lack of unity among members and now this migrant crisis could serve to add support those anti-EU feelings.

Business Implications

Travel throughout the EU has become challenging as border checks and tunnel closures have created massive traffic delays. Migrants pushing through the tunnel between France and England made thousands of transport companies to halt their services earlier this summer and difficulty moving products by road has forced some firms to resort to expensive shipping alternatives.