28 NOV 2025 11:50AM by PIB Delhi
Key Takeaways
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Introduction
| GIFT City stands as India’s bold step towards building a world-class financial and IT hub. Designed with vision and precision, it blends global standards with sustainable innovation. Gujarat International Finance Tec-City (GIFT City) is India’s first International Financial Services Centre (IFSC), located in Gandhinagar, Gujarat. As India’s first operational smart city, it represents the country’s ambition to build a global hub for financial and technological services. Backed by strong government support, GIFT City is designed to blend world-class infrastructure with sustainable urban development. It stands as a symbol of India’s growing role in international finance and investment. Today, it accommodates global banks, insurers, asset managers, |
and fintech firms, making it a rising competitor to international hubs like Singapore and Dubai. The city features integrated development comprising a commercial business district, dedicated residential zones, robust social infrastructure, and a vibrant retail and entertainment hub.
Background and Vision
GIFT City was born out of a vision to create India’s first global financial hub. It reflects the country’s ambition to match world-class standards in finance and infrastructure. The government envisions GIFT City as a gateway for international capital and innovation. Its long-term mission is to position India as a leading global financial centre by 2047, with sustainability and fintech at its core.
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GIFT City is purposefully built to support both onshore and offshore financial operations, draw global investment, drive innovation, and generate high-quality jobs, contributing to India’s vision for Viksit Bharat 2047.
- Onshore key financial services are currently conducted in offshore centres by both residents and non-residents.
- Act as a premier gateway for channelling global capital towards India’s Viksit Bharat 2047 vision.
- Create high-quality employment opportunities for India’s skilled workforce.
- Drive regulatory innovation through a unified sandbox for fintech and financial product development.
- Attract global institutional investors, including sovereign wealth funds, pension funds, hedge funds, and private equity, via a transparent and efficient marketplace.
Governance and Institutional Framework
The Government of India has designated GIFT City as a Multi-Services Special Economic Zone (GIFT SEZ) and officially notified it as the country’s International Financial Services Centre (IFSC). Its governance rests on the International Financial Services Centres Authority (IFSCA), backed by strong government oversight and policy support. Its institutional framework is designed to attract global capital, foster innovation, and uphold international standards of transparency and sustainability. The IFSC unit is treated as a non-resident under the extant Foreign Exchange Management regulations.
International Financial Services Centres Authority (IFSCA): It was established under the IFSCA Act, 2019, and has been operational since April 2020. It functions as a unified regulator for financial products, services, and institutions in GIFT IFSC. It consolidates powers earlier divided among RBI, SEBI, IRDAI, and PFRDA for IFSC operations and has a mandate to develop and regulate financial services, promote ease of doing business, and align GIFT City with global standards.
| India International Bullion Exchange (IIBX)
The India International Bullion Exchange (IIBX) was launched in July 2022 at GIFT IFSC, Gandhinagar, promoted by leading institutions such as NSE, INDIA INX, NSDL, CDSL, and MCX, and is regulated by IFSCA. It provides a gateway for bullion imports into India while offering a world-class ecosystem for trading, investment in bullion financial products, and vaulting facilities. The exchange ensures responsible and transparent bullion trade by adhering to OECD due diligence guidelines for supply chain integrity from conflict-affected and high-risk areas. |
GIFT IFSC hosts banks, insurers, asset managers, fintech firms, and the India International Bullion Exchange (IIBX). Regular consultations between the government, IFSCA, and industry stakeholders help resolve concerns and enable business growth.
GCC Growth Ecosystem at GIFT City
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Global In-House Centres (GIC): A Global In-House Centre (GIC) in an IFSC is a dedicated entity set up by a financial services group to exclusively provide support services related to financial products, operating in foreign currency under a permitted legal structure. It can cater to financial service groups like Banks, NBFCs, Financial intermediaries, Investment banks, etc. IFSCA (Global In-House Centres) Regulation, 2020 was notified by IFSCA to provide a framework for recognition and operation of GIC in GIFT IFSC. These regulations lay down the framework for the operations of Global Capability Centres (GCCs) in GIFT IFSC.
FINTECH in GIFT IFSC:
GIFT City is rapidly emerging as a global FinTech hub, backed by a dedicated regulatory framework and active participation from leading tech firms. With innovation centres, sandbox environments, and academic partnerships, it fosters cutting-edge research, incubation, and enterprise growth in financial technologies.
Ø Regulatory Framework for FinTechs: Introduced via circular dated April 27, 2022, to position GIFT IFSC as a globally competitive FinTech hub.
Ø Dual Entry Routes: Entities operate through Direct Authorization or within the FinTech Sandbox, fostering innovation and flexibility.
Ø Industry Participation: Leading firms like Wipro, Infosys, Cognizant, and Hexaware etc. have commenced operations, employing ~2,500 professionals.
Ø Registered Entities: As of September 2025, GIFT IFSC hosts 20 FinTech/TechFin entities and 8 sandbox participants.
| International Fintech Innovation & Research Centre
A flagship initiative by the Government of Gujarat and the Asian Development Bank, this centre anchors global excellence in FinTech through training, incubation, acceleration, and research.
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Setting Up of Business
Business Setup Eligibility in GIFT IFSC
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Business Highlights
GIFT City has rapidly evolved into a prominent international financial hub, attracting diverse businesses and gaining global recognition. Its growing ecosystem, strong institutional presence, and rising preference among corporates highlight its increasing importance in global finance.
- Entity Growth – Over 1,034 registered entities spanning banking, capital markets, asset management, fintech, insurance, and leasing.
- Global Ranking – Achieved 46th position in the Global Financial Centres Index (March 2025), its highest ever.
- Emerging Hub – Ranked 5th among 15 emerging centres and topped the reputation index.
- Loan Disbursement – Banks at GIFT City disbursed nearly USD 20 billion in dollar loans to Indian corporates, up from 16% share two years ago, surpassing traditional hubs like London and Singapore.
| GIFT CITY: BUSINESS HIGHLIGHTS | |
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Finance and Treasury
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Capital Markets
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Banking
$142.98 Billion
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Insurance
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Key Institutions: GIFT City has rapidly emerged as a preferred destination for leading global and domestic enterprises establishing their offices and Global Capability Centres (GCCs). Its strategic location, modern infrastructure, and progressive regulatory environment have attracted companies across sectors—from semiconductors and energy to finance and technology.
| Leading companies in the GIFT-DTA Area | |
Major GCCs
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Major Tech and CoE in GIFT City
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| Banking | |
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| Alternative Investment Funds (AIF) | |
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| Fintech Companies | |
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| Ancillary services | |
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| Finance Companies | |
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| Insurance Companies | |
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Infrastructure Growth: Driving GIFT City’s Vision
| GIFT City has emerged as a modern hub of infrastructure development, reflecting India’s vision for global financial and business growth. Designed as India’s first operational smart city, GIFT City integrates cutting-edge infrastructure with modern urban planning. Its holistic approach combines advanced utilities, social amenities, and seamless connectivity to create a sustainable, world-class business and living environment. GIFT City offers world-class ‘plug-and-play’ infrastructure, enabling businesses to start operations quickly without delays. Together, these offerings create a well-planned environment that truly embodies the concept of a “walk-to-work” city. |
| High-End Civic Infrastructure |
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| Transport Infrastructure |
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| Social Infrastructure |
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GIFT City’s Command & Control Centre (C4) ensures secure, tech-enabled urban management through real-time utility monitoring and coordinated emergency response.
| City Command and Control Centre (C4) | |
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Talent and Education Ecosystem:
GIFT City offers unmatched access to talent and academic excellence, drawing from premier institutions in its vicinity. It is also emerging as India’s gateway for global education in finance and technology, with top international universities establishing campuses within the city.
Supported by leading institutions such as IIM Ahmedabad, IIT Gandhinagar, and Gujarat Maritime University, etc., the state hosts a robust TechFin talent pool comprising over 86,000 software engineers, 71,000 finance professionals, and 21,000 management experts. Ahmedabad alone accounts for more than 1.7 million professionals and has recorded a 142% rise in AI-skilled talent over the past year.
Academic Infrastructure Service Providers (AISPs): To support international education in GIFT City IFSC, the IFSCA has issued a circular that introduces Academic Infrastructure Service Providers (AISP). These are authorized entities that offer campus infrastructure, research and development spaces, admissions support, staffing, marketing, and other approved services. This framework enables foreign universities to set up and operate smoothly within a relaxed regulatory environment. Global University Systems (UK), GEDU Education (UK), and Education Centre of Australia are among the existing AISPs operating in GIFT City.
| India’s Gateway to Global Academia | |
| Domestic Universities
GIFT City hosts a growing academic ecosystem that includes both Indian and international universities. Among the domestic institutions, the Indian Institute of Foreign Trade (IIFT) and Gujarat Biotechnology University offer specialized programs aligned with trade, commerce, and life sciences |
Foreign Universities
On the international front, campuses of Deakin University and University of Wollongong from Australia are already operational, while Queen’s University Belfast and Coventry University from the UK are set to join, reinforcing GIFT City’s position as India’s gateway for global education in finance, technology, and innovation. |
Business Advantage in GIFT CITY
GIFT City offers a future-ready environment for enterprises seeking speed, scale, and strategic positioning. With its integrated infrastructure, progressive regulatory framework, and access to skilled talent, it fosters a seamless ecosystem for innovation and global competitiveness. Businesses benefit from a supportive policy landscape and operational ease, making GIFT a preferred destination for high-value growth.
Over the last 5 years, the Government of India has provided several progressive policy measures for
development of GIFT City, such as: –
- Notification of new age financial products and financial services under section 3(1) of the International Financial Services Centres Authority (IFSCA) Act, 2019, such as aircraft and ship leasing, global in-house centres, tax holiday on business income for 10 years out of a block period of 15 years to all IFSC Units provided under section 80-LA of the Income Tax Act, 1961 etc.
- The Government has also delegated powers of Development Commissioner under the Special Economic Zones (SEZ) Act, 2005, to the International Financial Services Centres Authority (IFSCA).
- Launch of a Single Window IT System (SWITS) for IFSC Units.
Global International Financial Services Centres (IFSCs) are known for creating supportive taxation environments, and GIFT City reflects this global best practice within India. By offering a wide range of tax incentives and exemptions, it establishes a progressive framework that encourages both individuals and organizations to thrive. These measures not only enhance competitiveness but also position GIFT City as a trusted destination for international and domestic financial operations.
| Fiscal and Non-Fiscal Support Measures | |
Direct Tax
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Indirect Tax
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IT/ITeS Policy
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Other Incentives
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Single Window Governance Framework –
GIFT City operates under a streamlined single-window governance model led by the GIFT Urban Development Authority and the Notified Area Committee.
Conclusion:
GIFT City has rapidly evolved into India’s premier international financial and IT hub, blending global standards with smart infrastructure. Its strong regulatory framework under IFSCA ensures transparency and competitiveness. Progressive tax incentives and policy support make it a magnet for global capital. The city’s expansion and fintech focus highlight India’s readiness for future financial leadership. With sustainability and innovation at its core, GIFT City is poised to anchor India’s vision of Viksit Bharat 2047.
