“BREXIT”, EUROPEAN UNION (EU) & THEIR IMPACT ON INDIAN MARKETS

28 member states of Europe formed the politico-economic amalgamation called the European Union (EU). It covers an area of 4,324,782 km2 (1,669,808 sq mi), and approximately the estimated population under EU is over 508 million. Under EU an internal single market has been developed through a standardized system of laws which is applicable to all member states. The policies of EU are to make certain free movement of people, goods, technology transfer, capital and services inside the single internal market, enforce legislation in integrity and home affairs, frame and maintain common trade practices and policies, build unanimous agricultural practices etc for overall regional development. Within the boundary of Schengen area, the control of passport controls has been withdrawn. In 1999 a monetary union was established which came into action in 2002, comprising of nineteen EU member states which exercise the common currency Euro (€). Brexit”, a portmanteau of the words “Britain” and “exit,” it is the nickname for a British exit of the European Union after the June 23, 2016 referendum i.e. 51.9% of the British population voted to leave the union. Pro-Brexit activists have outlined parting the European Union as indispensable to shield or perhaps reinstate, the distinctiveness of UK: its ethnicity, sovereignty and position in the world. This conceptual paper aimed at identification of probable pros and cons of Brexit on Indian economy and markets overall based on some noticeable observations in recent past.