GIFT City IFSC leases 370+ aviation assets worth $5.8 billion: Gujarat CM
Synopsis
GIFT City's IFSC has quietly become India's aircraft leasing nerve centre — over 370 aviation assets worth $5.8 billion have now been transacted through it, and with a 20-year tax holiday and Credit Line 5.0 backing, Gujarat's financial hub is making a credible bid to pull aircraft leasing away from Dublin and Singapore.
Key Takeaways
Gujarat CM Bhupendra Patel disclosed that more than 370 aviation assets worth $5.8 billion have been leased via GIFT City IFSC as of 8 May 2025 .
The Union Budget extended the tax holiday for aircraft leasing companies at GIFT City to 20 years .
The Cabinet recently approved Credit Line 5.0 to support the aviation sector under Prime Minister Narendra Modi .
Customs duty exemptions were announced for aircraft manufacturing under the Make in India initiative, along with duty concessions on raw materials for MRO operations in defence aviation.
Gujarat currently operates 2 international airports and 19 operational airports , with a greenfield airport planned at Dholera .
Gujarat Chief Minister Bhupendra Patel on Friday, 8 May revealed that more than 370 aviation assets worth approximately $5.8 billion have been leased through the International Financial Services Centre (IFSC) at GIFT City, as he addressed the India Aircraft Leasing and Financing Summit 2.0 in Gandhinagar. The disclosure underscores GIFT City's growing stature as a dedicated hub for aircraft leasing and financing activity within India.
Key Milestones at GIFT City IFSC
Addressing industry leaders at the summit, Chief Minister Patel stated:
Point of View
But the more telling detail is structural: India's aviation fleets still rely heavily on foreign leasing arrangements, and GIFT City is explicitly positioned as the domestic alternative. The 20-year tax holiday is an aggressive incentive, yet the real competitive test is against established jurisdictions like Dublin and Singapore, which offer deep liquidity pools, mature legal frameworks, and decades of institutional trust. GIFT City's regulatory consolidation under the IFSC is the right direction, but the gap between milestone announcements and a self-sustaining leasing ecosystem remains wide. The Dholera airport and Make in India manufacturing push could be catalysts — if execution keeps pace with the ambition.
NationPress
11 May 2026
Frequently Asked Questions
How many aviation assets have been leased through GIFT City IFSC?
More than 370 aviation assets worth approximately $5.8 billion have been leased through the IFSC at GIFT City, according to Gujarat Chief Minister Bhupendra Patel speaking on 8 May 2025. This figure was disclosed at the India Aircraft Leasing and Financing Summit 2.0.
What is the tax benefit for aircraft leasing companies at GIFT City?
The Union Budget extended the tax holiday period for aircraft leasing companies operating from GIFT City to 20 years. This is intended to make GIFT City a more competitive destination compared to established international leasing hubs.
What is Credit Line 5.0 and how does it relate to aviation?
The Cabinet recently approved Credit Line 5.0 to support India's aviation sector, according to Chief Minister Patel. He cited it as part of the Centre's broader effort to strengthen the industrial and aviation ecosystem under Prime Minister Narendra Modi's leadership.
What is GIFT City's role in India's aircraft leasing sector?
GIFT City's IFSC serves as India's primary platform for aircraft leasing and financing, offering a unified regulatory framework designed to improve Ease of Doing Business. The goal is to shift leasing activity currently conducted through foreign arrangements back to India.
What airport infrastructure is Gujarat planning?
Gujarat currently has two international airports and 19 operational airports. A greenfield airport is planned at Dholera, India's first greenfield smart city, which Chief Minister Patel said would accelerate both Gujarat's and India's economy.
