DHARANA - Bhavan's International Journal of Business

Impact of Brexit and India's Preparedness: A Perspective


Affiliations

  • Siddaganga Institute of Technology, Tumakuru, 572 103, India

Abstract

Britain’s decision to withdraw from the European Union on June 24, 2016 ceasing its long affiliation since January 1, 1973 has sent shockwaves across the globe. The markets have collectively reacted sharply leading to turbulence especially in financial markets. The investors are found dumping stocks and risky assets opting for safe heaven assets. The earnings outlook of corporate entities has taken a beating. The Indian companies which have their business contacts and locations in Britain and Europe are feeling the pinch of Brexit. However, our regulators are of the opinion that the nation is ready to handle the eventualities of Brexit. Against this background, this paper intends to examine the pros and cons of Brexit and India’s preparedness in handling the same. Narrative approach is adopted in discussing the issues pertaining to the impact of Brexit and India’s preparedness.

Keywords

Economic Unification, Monetary Union, Euro Zone, Regional Cooperation, Market Turbulence, Safe Haven Assets.

Subject Discipline

Economics

Full Text:

References

Amiti Sen, (2016). ‘Brexit may speed up India - UK free trade pact’. Business Line, Dt. 01-07-2016, p. 13.

Berlin, (2016). ‘European lawmakers urge a speedy Brexit’, The Hindu, Dt. 27-06-2016-p. 14.

Bloomberg, (2016). ‘Brexit: Gold rally seen reducing Indian imports to 7 year low’, Business Line, Dt. 0107-2016-p. 18.

Brian W. and Alex H., (2016), ‘The UK's EU referendum: All you need to know.’ http://www.bbc.com/news/uk-politics-32810887, 24-06-2016.

Clive Crook, (2016). ‘Will UK re-do Brexit?’ Business Line, Dt. 01-07-2016, p. 01.

Eun and Resnick, (2011), ‘International Financial Management,’ TMH, 4th Ed, 2011.

ET Bureau, (2016). ‘Brexit pounds global markets’. The Economic Times, Dt. 28-06-2016, pp. 1.

Gregor Irwin, (2015). ‘Brexit: The impact on the UK and the EU’, GC Global Counsel, June 2015.

Jeff Madura, (2012). ‘International Corporate Finance,’ Cengage Learning, 10th Ed, 2012.

Jim Zarroli (2016), ‘How Will Brexit Affect London's Status As A Global Financial Center?. http://www.npr.org/2016/06/27/483665241/how-willbrexitresults-affect-londons-status-as-a-globalfinancialcenter, Dt. 27-06-2016.

John Pilger, (2016). ‘Why the British said no to Europe’, The Hindu, Dt. 28-06-2016, p. 8.

Justin Tallis, (2016), ‘EU referendum: What are the pros and cons of Brexit?’ ‘http://www.theweek.co.uk/brexit-0 Dt. 27-06-2016.

Mark Mobius, (2016). ‘Long - term view on emerging markets not altered by Brexit’, Business Line, Dt. 27-06-2016, p. 11.

Nayanima Basu, (2016).’Post-Brexit, UK and India can move ahead on the trade deal’ ‘Business Line, Dt. 01-07-2016, p. 4.

Neil Irwin, (2016), ‘How Brexit will affect the global economy, now and later’. http://www.nytimes.com/2016/06/25/upshot/how-brexit-will-affecttheglobal-economy-now-and-later.html?_r=0. Dt. 24-06-2016.

Nilesh Jasani, (2016). ‘Brexit has the potential to lead to Market Turmoil’. The Economic Times Money Matters, Dt. 01-07-2016, p. 11.

Patrick Gillespie, (2016). ‘How Brexit impacts the U.S. economy’. http://money.cnn.com/2016/06/24/ investing/brexit-impact-on-american-globaleconomy/. Dt. 24-06-2016.

Peter S. G. (2016), ‘Turbulence and uncertainty for the market after ‘Brexit’. http://www.nytimes.com/2016/06/25/business/international/brexitfinancialeconomic-impact-leave.html?, Dt. 23-06-2016.

Rajesh, M., (2016). ‘Cos with Europe exposure face downgrade risk after Bexit’. The Economic Times, Dt. 28-06-2016, p. 9.

Sanchit Kumar (2016). ‘Brexit effect: Indian equity may defy global shivers’, The Hindu, Dt. 27-06-2016, p. 15.

Surojit Gupta, (2016). ‘India emerged from Brexit crisis relatively well’, The Times of India, Dt. 01-07-2016, p. 19.


Refbacks

  • There are currently no refbacks.