The bruise collapsed and universe batch markets descended into pandemonium Friday after Britain’s startle opinion to leave a European Union, fuelling a call of tellurian uncertainty.
Sterling strike a 31-year low, crashing 10 percent to $1.3229 during one point, and a euro also plummeted opposite a US currency, as a Brexit outcome held markets by surprise.
European batch markets went into giveaway tumble during a opening, mirroring a subjection in Asian markets, after markets had banked on Britons opting to sojourn in a EU formed on polls and bookmakers predictions.
Tour operators in India say they expect a sharp rise in the number of travellers to the UK because the pound's depreciation make these destinations cheaper in a post Brexit scenario.
"The pound has depreciated against the rupee. This would mean that travelling to the UK will be cheaper for Indians. This will aid our outbound business for the remainder of the year," Cox and Kings Ltd CFO Anil Khandelwal said.
"Brexit has resulted in a big drop in the value of the pound and if this trend remains then we could see a surge in leisure tourism to Britain, as it will become significantly cheaper," Yatra.com President Sharat Dhall said.
A MakeMyTrip spokesperson concurred that there might be an increase in the number of travellers from India to the UK and to EU nations.
A pied-a-terre in Notting Hill?
Slightly wealthier Indian investors may also be looking to acquire properties in the UK, including in London, as the devaluation of the pound has hit real estate prices there too, in property consultants said today.
"The British Pound is currently at a 31-year low, which itself provides an attractive rationale for foreign investors with an appetite to do so to acquire properties in the UK," JLL India Country Head and Chairman Anuj Puri said.
The UK -- particularly cities like London -- has always held a special attraction for Indians, particularly for high-net-worth individuals who have business interests and family there, Puri said. he said, while adding such individuals would certainly keep a close watch on the effect of Brexit on UK's property prices.
Investing in the UK
"It is very likely that many more Indians will seek to invest there," Puri said in a statement.
Commenting on the development, CBRE Asia Pacific Head of Research Henry Chin said: "In the short term, we expect APAC investors to adopt a wait-and-see approach while they receive more clarity on the future developments arising from the UK's decision to leave the EU."
"CBRE expects some hesitancy from investors, however, the UK, especially London, will continue to remain attractive for Asian investors driven by the inherent attractiveness of the market, including its transparency, political stability, market liquidity and the openness of its legal framework for foreign investors, which includes their tax structure," Chin said.
"A decline in the value of the sterling could also be a catalyst for increased foreign investment in the UK due to attractive returns," CBRE said.
Knight Frank India CMD Shishir Baijal said: "The combination of lower prices and devaluation of the pound should draw in Indian investors looking to acquire assets in the UK."
"London has always been a favourite destination for Indian property buyers and it augurs well for the Indian investors to make their move now," he added.
A British degree
Divorced to EUomkar swarna
Last but not least, there's something in there for students, too.
"A drop in the pound could also result in an increase in students from India choosing the UK as a destination as it will make education significantly cheaper there," Yatra.com's Dhall said.