London; The Finance Ministry is closely watching the developments surrounding the referendum in Britain on the country’s continuity in the European Union and India is well prepared to handle any eventuality.

Economic Affairs Secretary Shaktikanta Das said, if Brexit happens, India is ready. Industry chambers have been asking the government to keep a contingency plan ready for Britain exits from European Union.

ASSOCHAM in a statement said, as a key emerging market and the one which is being preferred by the global fund managers, India could witness wild fluctuations or large outflows in sync with an overall trend.

The Confederation of Indian Industry (CII) pointed to the fact that India invests more in the UK than in the rest of Europe combined, and has emerged as the that country’s third largest foreign direct investor.

AIR correspondent reports, Britain ranks 12th in terms of India’s bilateral trade with individual countries. It is also among just seven in 25 top countries with which India enjoys a trade surplus.

According Commerce Ministry data, India’s trade with Britain was worth 14.02 billion US dollar in 2015-16, of which 8.83 billion US dollar was in exports and 5.19 billion US dollar was in imports.

FICCI also said Britain’s exit from the European Union would create considerable uncertainty for Indian businesses engaged with the UK and would possibly have an adverse impact on investment and movement of professionals to that country.