The GIFT City, established as India’s first IFSC, has the potential to transform India’s financial services ecosystem, while also fostering the government’s ‘Make in India’ objective.
Key highlights of the publication
- The Gujarat International Finance Tec-City (GIFT City) aspires to develop an International Financial Services Centre (IFSC) that harnesses the power of India’s talent house while providing world-class technology and infrastructure to global firms seeking to set up shop in India.
- In the 32nd edition of the Global Financial Centres Index published in September 20223, the GIFT City has been ranked third among the top 15 centres that are likely to become significant in the next two to three years.
- The GIFT City serves as a platform for raising global capital at competitive rates. Global capital is an important tool for economic growth and the IFSC provides the much-needed platform for Indian and foreign companies to raise foreign capital.
- As per NASCOMM, India accounts for 45% of the GICs (Global In-House Centers) of the world, with more than 1,800 GICs set up in India. With the growth in revenue projected for India, GICs are the future of global businesses. With this objective in mind, the IFSCA issued regulations to set up GICs in the GIFT City.
- This knowledge series document is written with an intent to explain the regulatory framework applicable for the banking sector. The next volumes will be focused on other financial services sub-sectors.