The Brexit effect will not significantly affect Indonesia and Asean trade as export volume to the UK is small at only 0.9 per cent and 1.3 per cent, respectively, of total trade, he said. However, prolonged political risk could affect the economy.

“The majority of Scotland and Northern Ireland voted to remain in the EU, we need to see if the UK can stand up to separatist issues,” David told thejakartapost.com on Friday in Jakarta.

UK Prime Minister David Cameron announced that he would resign immediately after “leave” won the tally. The victory for the “Leave EU” campaign has fanned speculations that more countries could withdraw from the EU amid the fragile recovery of the world economy.

Bank Indonesia (BI) Governor Agus Martowarojo said the central bank would keep an eye on capital flows in the country. As of mid-June, BI recorded 70 trillion rupiah of capital inflows into Indonesia, a jump from 30 trillion rupiah in the same period last year.

“We believe the world is shocked and we acknowledge there will long-term implications following Brexit […] The impact will be limited to the financial sector,” he said underlining that the UK may take two years to complete the procedures required to leave the 28-year-old bloc.

(US$1 = 13,546 as on June 24, 2016 via oanda.com)