UPDATE 1-India c.bank chief warns of risks from Brexit, U.S. elections
(Adds quotes, details, background)
By Rafael Nam
MUMBAI Oct 13 (Reuters) - India and fellow BRICS countries need to be prepared to confront potential "political risk" events such as Britain's exit from the European Union and the U.S. presidential elections, Reserve Bank of India Governor Urjit Patel warned on Thursday.
Patel also cited other challenges such as a soft commodity cycle facing the global economy and the BRICS countries, composed of Brazil, Russia, India, China, and South Africa.
The RBI governor urged BRICS countries to respond by shoring up their domestic economies by making themselves attractive investment destinations.
Patel's speech in Mumbai was his first in public since his appointment as central bank governor in August. The media-shy policymaker addressed a group of BRICS officials ahead of a meeting of the five heads of government in the Indian state of Goa this weekend.
A SIMILAR WARNING
"The Brexit vote, the U.S. presidential election process, and the political realignment" in Europe were three of the potential "black-swan" scenarios that could impact BRICS policies, Patel said.
The warning against spillovers from global events was similar to the ones made by his predecessor Raghuram Rajan, a former chief economist for the International Monetary Fund widely respected by global investors. Continuación...