South Korea’s main bourse operator has assured investors that the impact of Britain leaving the European Union(EU) on the South Korean stock market will be limited.

The Korea Exchange(KRX) said Monday that the panic over the Brexit decision is relatively contained outside Europe, adding that stock markets in other areas, including the U.S. and Asia, dropped three percent or less after the announcement of Britain deciding to leave the EU.

The KRX also said that Brexit would have a limited impact on the South Korean bourse thanks to the global policy coordination and South Korea's strong economic fundamentals. 

South Korea’s benchmark index KOSPI plunged by more than four percent in trading to one-thousand-892-point-75 points on Friday, but it regained some ground to close at one-thousand-925-point-24.

Arguing that the Brexit is more of a political matter than an economic one, the KRX hoped it would be resolved through political maneuvers by the related countries.  

The KRX also noted that unlike the global financial crisis triggered by the bankruptcy of Lehman Brothers in 2008 and the fiscal crisis in the Eurozone in 2011, the Brexit has no substantial risk to the global economy.