Britain votes to leave EU, Cameron announces to resign

The European Unity forged since the World War II also got a body blow with the decision of Britain while repercussion was felt in other European countries too especially emboldening groups like the resurgent far-right National Front party of France.

While Prime Minister David Cameron announced that he would resign in three months, the financial markets across the world nosedived after the results of the referendum that is now famously called Brexit.

However, London has overwhelmingly voted in favour to remain in the 28-member European Union (EU). So did Scotland and Northern Ireland.

The former London Mayor Boris Johnson, who is also seen as Cameron’s possible successor as party leader, had led the Leave campaign, along with several serving Cabinet members.

David Cameron announced on Friday to resign in three months as the British Prime Minister.

Cameron, who served as the Prime Minister for six years, spoke in a broken voice as he announced his resignation.

"....the British people have made a very clear decision to take a different path, and as such, I think the country requires fresh leadership to take it in this direction," he said reading out a statement before 10 Downing Street.

"In a giant, democratic exercise, perhaps the biggest in our history over 33 million people from England, Scotland, Wales, Northern Ireland and Gibraltar have all had their say. We should be proud of the fact that, in these islands, we trust the people with these big decisions.

"We not only have a parliamentary democracy, but on questions about the arrangements for how we're governed, there are times when it is right to ask the people themselves, and that is what we have done. The British people have voted to leave the European Union, and their will must be respected," he said.     

"I would reassure those markets and investors that Britain's economy is fundamentally strong, and I would also reassure Brits living in European countries, and European citizens living here, that there will be no immediate changes in your circumstances. There will be no initial change in the way our people can travel, in the way our goods can move, or the way our services can be sold.

"We must now prepare for a negotiation with the European Union. This will need to involve the full engagement of the Scottish, Welsh, and Northern Ireland governments to ensure that the interests of all parts of our United Kingdom are protected and advanced. But above all, this will require strong, determined and committed leadership," he said.

"...the British people have made a very clear decision to take a different path, and as such, I think the country requires fresh leadership to take it in this direction," he said.

  Moments after Britons voted for Brexit, United Kingdom Independent Party (UKIP) leader Nigel Farage celebrated the separation by terming it as the Independence Day for Britain, reports said.

The UKIP leader said "June 23rd will go down in our history as our independence day."

Following the Brexit, he told his party supporters,"Dare to dream that the dawn is breaking on an independent United Kingdom."

"We need a Brexit government. It is a victory for ordinary people, it is against big businesses and merchant banks," he said, calling it an Independence Day. 

"We have fought against the multinationals, we have fought against the big merchant banks, we have fought against big politics, we have fought against lies, corruption and deceit," Farage said at a Brexit party.

"And today honesty, decency and belief in nation, I think now is going to win. And we will have done it without having to fight, without a single bullet being fired, we'd have done it by damned hard work on the ground," the UKIP leader added.

"I am thrilled we have done this," he said.

In countries like India, the leaders and top bankers said the country will withstand the shock.

Reserve Bank of India (RBI) Governor Raghuram G Rajan  said India will survive the impact of Brexit owing to its strong fundamentals and sizeable foreign reserves.

"The Indian economy has good fundamentals, low short term external debt, and sizeable foreign reserves. These should stand the country in good stead in the days to come," he said.

"It looks increasingly clear that the United Kingdom has voted to exit the European Union. Markets are trying to factor the consequences of this development and this has already led to sharp corrections in financial markets around the world," he said.

"Reserve Bank is continuously maintaining a close vigil on the market developments, both domestically and internationally, and will take all necessary steps, including liquidity support (both dollar and INR), to ensure orderly conditions in financial markets," he said.

Indian Finance Minister Arun Jaitley said the country is prepared well to deal with the short and medium term consequences of Brexit.

"As regards, the Indian economy, we are well prepared to deal with the short and medium term consequences of Brexit. We are strongly committed to our macro-economic framework with its focus on maintaining stability," said Jaitley.

"Our macro-economic fundamentals are sound with a very comfortable external position, a rock-solid commitment to fiscal discipline, and declining inflation. Our immediate and medium-term firewalls are solid too in the form of a healthy reserve position," he said.

Meanwhile, British celebrities reacted to the Brexit victory as they shared their thought on various social networking sites on Friday.

Writer JK Rowling tweeted: "Scotland will seek independence now. Cameron's legacy will be breaking up two unions. Neither needed to happen."

Actor Hugh Laurie posted: "Congratulations exiters. Reverse is across and down, easy on the clutch."