British Pound crashes to 31-year low

London:
The British Pound crashed to its lowest levels in 31 years as the UK
on Friday voted to leave the European Union (EU) in a historic
referendum. The Pound dropped below $1.35 against US dollar for the
first time since 1985. The currency fell as much as 11 percent and
was on course for its biggest one-day fall ever. It was down against
all major world currencies.

The UK
is first country to vote to leave the European Union. Prime Minister
David Cameron resigned on Friday, saying he would hand over to a new
leader in about three months.

The
pound swung wildly during the referendum campaign in response to
opinion polls. Economists opine that with British Pound reeling under
pressure, UK is now poorer than France as pound hits 30-year low.

FTSE 100
drops 8.7 percent following British vote to leave EU. Stocks markets
around the world are also falling sharply after the campaign to leave
the EU won Thursday’s referendum.

Economists
have been warning for months that if the UK referendum resulted in a
vote for a British exit (Brexit) from the EU, that would do lasting
damage to the British economy.

Reacting
to the market fell, the Bank of England has decided to take all
necessary steps to meet its responsibilities for monetary and
financial stability. “The Bank of England is monitoring
developments closely. It has undertaken extensive contingency
planning and is working closely with HM Treasury, other domestic
authorities and overseas central banks,” Bank of England said in
a statement.