India’s first and only International Financial Services Centre (IFSC) was established within Gujarat International Financial Tec City (GIFT City).
About GIFT City IFSC (Gandhinagar, Gujarat)
- It was established as a Special Economic Zone (SEZ) in 2015. Designated as a non-resident zone under Foreign Exchange Management Act (FEMA).
- IFSC is a jurisdiction that provides onshore and offshore financial services to non-residents and residents (institutions), in a foreign currency.
- Functions:
- Favorable tax structure: Offer cross-border financial products and services within a competitive tax environment.
- Trusted regulatory environment: Provide onshore talent with an offshore technological and regulatory framework.
- Ease of doing business: Facilitates movement of international financial services based on global standards, promotes inbound and outbound investment to India.
- Regulatory body: International Financial Services Centres Authority (IFSCA) regulates financial products, financial services and financial institutions in IFSCs in India.
- Established in 2020 under the IFSCA Act, 2019.
- Current Status: GIFT-IFSC ranked 46th in the Global Financial Centres Index (a 5-rank improvement); ranked 45th in the FinTech rankings (a 4-rank improvement)
Committee’ Recommendations
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