How will Brexit influence Japan?

 As you know, The citizen of United Kingdom decided to leave the European Union by the referendum held on June 23rd. The vote rate showed 52 per cent for leaving the EU, 48 per cent against. After the referendum, David Cameron, who had strongly been against leaving the EU, announced his resignation as the Prime Minister and the global financial market and the value of pound decreased hugely immediately. Although nobody knows what will happen from now on, it is no doubt that this historical incident will have a tremendous influence on the world, especially the global economy. Today I am going to predict how Brexit will affect my country, Japan.

 The main cause by Brexit is to be going to result in the stagnation of the Japanese export industry. In fact, just after the announcement that they determined to exit from the EU, the value of the Japanese 'yen' dramatically increased to 99 yen per USD. It had been about 2 years and 7 months since the last time. One of the biggest markets in Japan is the export industry. For a long time, Japanese economy has been wealthy because of exporting many sophisticated products which thoroughly satisfy clients all over the world. In 2012, after Shinzo Abe was appointed as the Japanese Prime Minister, he focused on taking measures to promote a low exchange rate of the yen. However, it will fail by the strong yen.

 According to a survey, the number of Japanese companies which have expanded their business in Britain is 931 as of 2014. The number is second in the EU only after Germany. In addition, the amount of outward FDI(Foreign Direct Investment) toward Britain is approximately 1.7 billion. This number is second in the world only after the United States of America. From this information, it is easy to speculate how much influence Brexit will have on the Japanese economy.

 It is said that Britain has to take 2 years to actually leave the EU. Therefore, it may be possible that Britain corrects their statement by persuading other members of the EU not to leave the EU. All Japan has to do is that consider and prepare for any situations which will possibly occur. Japan may be forced to accept refugees much more than before by requirements from around the world since one of the reasons they concluded to leave the EU was that they could not be bothered accepting refugees any more. The Japanese acceptance rate of refugee is 0.2 per cent, which is said to be the lowest rate in the developed countries while Japan has given them immense financial support.