The International Financial Services Centre at Gujarat International Fin-Tec City (GIFT IFSC) in Gandhinagar has emerged as a flagship investment destination for finance companies. In the last three years, the facility has attracted scores of companies in diverse sectors.
The authorities are now planning to include more sectors to give GIFT further boost. According to sources, 10 international banks and global funds have started operations at GIFT IFSC. The International Financial Services Centre Authority (IFSCA) now wants to include new sectors which can generate employment, apart from new-age financial services.
Sources said including global accounting is being considered apart from certain other sectors.
Currently, the GIFT SEZ area of operations covers banking, capital markets, alternative investment funds, insurance, ship leasing, aircraft leasing and financing, finance companies, global in-house centres and IT ITes.
A senior official said, “We are planning to include more sectors to make GIFT IFSC more vibrant. In the next four to six months, products like global accounting, carbon credit trading, tokenization of assets, silver trading and mutual funds will be included. Some of these will be starting for the first time in India. New products will make GIFT a global competitor in the field of financial services by offering a complete range. Some products that are only available in Singapore, Dubai and Hong Kong will be offered here for the first time.”
According to sources, till July 2023, the total banking asset size at GIFT IFSC was $41.2 billion and cumulative derivative transactions booked by banks worth $632 billion were carried out.
The IFSCA has 545 registered entities at GIFT IFSC till July 2023, including 25 aircraft and shipping entities. Monthly turnover on IFSC stock exchanges in July 2023 was $60.33 billion. Total commitments to alternative investment funds till July 2023 was $17.8 billion.
Sources said since the inception of the IFSC Authority, GIFT SEZ has seen unprecedented development and to further accelerate growth, new sectors may be included, and accounting will be the first of them.
“A global accounting firm may soon start operations at GIFT SEZ, which will generate employment at the country’s only IFSC. The entire ecosystem is being put in place at GIFT IFSC, which will ensure faster growth in the coming years,” a source said.