The United Kingdom made a momentous decision by voting to leave the European Union in a closely-fought and historic referendum. The Brexit side won 52 per cent of the vote in a high-turnout referendum.
Prime Minister David Cameron, the architect of the referendum and a passionate supporter of Britain within the European Union announced that as a measure of respect for the “will of the people” he would be stepping down as prime minister in October.
Finance Minister, Mr. Arun Jaitley said in a statement, “We respect the referendum’s verdict. At the same time, we are also aware of its significance in the days ahead and also for the medium term. We are well prepared to deal with the short and medium term consequences of Brexit. We are strongly committed to our macro-economic framework with its focus on maintaining stability. Our macro-economic fundamentals are sound with a very comfortable external position, a rock-solid commitment to fiscal discipline, and declining inflation.”
The Indian industry said that India's strong macro-economic fundamentals will help it withstand the Brexit fallout, although companies having exposure to the UK need to realign their strategies to stave off the negative impact on their businesses.
This document analyses the referendum’s impact on India.