We are prepared to deal with Brexit: India reassures investors ahead of referendum

New Delhi: Seeking to allay fears of investors on the eve of Brexit referendum, the Finance Ministry said on Wednesday that India is prepared to deal with any eventuality with its sufficient forex reserves.

 We are prepared to deal with Brexit: India reassures investors ahead of referendum

A banner in Altrincham, Britain. Reuters

Economic Affairs Secretary Shaktikanta Das said the country is prepared to deal with any eventuality in the event of Brexit — which refers to the exit of United Kingdom from the European Union.

"Current indications are that perhaps Brexit won't happen. In the event of Brexit happening, let me say very categorically that we are prepared to deal with all eventualities and I am saying so on the basis of three specific factors," Das said.

Das listed sufficient foreign exchange reserve of USD 360 billion, India continuing to be an attractive FDI destination
globally and minimal likely impact on India's trade as the three factors.

"So all these things put together...if there is any currency volatility, we should be able to deal with that situation," he said.

India has significant trade with the UK as well as the EU. It also receives large investments from Europe.

BREXIT

On Tuesday, Federal Reserve Chair Janet Yellen had said Britain's exit from the European Union would have significant
economic repercussions.

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Updated Date: Jun 22, 2016 19:16:07 IST