How Can GIFT IFSC Become More Competitive to Attract Foreign Investments?
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Synopsis
In a crucial address, Finance Minister Nirmala Sitharaman outlines the vision for GIFT IFSC to emerge as a leading financial hub, emphasizing the need for world-class infrastructure and regulatory reforms to attract global investments. This strategic move aims to secure India's financial future and cater to high-growth sectors over the next twenty years.
Key Takeaways
- GIFT IFSC is poised to be a significant gateway for global capital.
- Development of world-class infrastructure is crucial.
- Regulatory reforms are necessary for attracting investments.
- Leveraging India's technology and market potential is vital.
- Collaboration with stakeholders is essential for growth.
New Delhi, June 27 (NationPress) The GIFT International Financial Services Centre (IFSC) must evolve into a significant conduit for worldwide capital influx into India, catering to the demands of high-growth sectors for the next twenty years, as emphasized by Finance Minister Nirmala Sitharaman.
She highlighted the necessity of transforming GIFT City into a vibrant smart city, furnished with integrated, modern, and sustainable living facilities, asserting that the establishment of such top-tier amenities is crucial for attracting elite talent from both domestic and international arenas.
During her visit to the IFSC at GIFT City in Gandhinagar, the Finance Minister evaluated progress and engaged with essential market stakeholders.
While praising the role of GIFT IFSC in elevating India's status in the global financial landscape and acknowledging its influence on redefining international financial interactions for Indian enterprises and individuals, she insisted on accelerating reforms in the upcoming years to align growth with the vision of 'Viksit Bharat' by 2047.
Reiterating the core mission of GIFT IFSC to attract foreign capital into India via structured and well-regulated avenues, FM Sitharaman stressed the need for Indian financial sector regulators to initiate measures to identify the aspirational requirements of GIFT IFSC.
The Finance Minister pointed out that India’s dual advantages in technology and a vast domestic market, along with its financing needs, must be utilized to secure a competitive edge.
Considering India’s position as a leading gold importer, she emphasized the urgency to enhance operations at the India International Bullion Exchange (IIBX) by broadening stakeholder involvement and fortifying price discovery. This will help position GIFT IFSC as a global bullion center.
She also engaged with managing directors, CEOs, chairpersons, founders, and CFOs from various sectors, including banking, insurance, capital markets, funds, finance companies, payment services, aircraft and ship leasing, fintech, ITFS platform providers, and foreign universities.
Point of View
Our stance is to support initiatives that enhance India's financial infrastructure and attract global investments, aligning with the nation's broader vision of economic development and sustainability.
NationPress
27/06/2025
Frequently Asked Questions
What is GIFT IFSC?
GIFT IFSC stands for GIFT International Financial Services Centre, aimed at facilitating international financial services and attracting foreign investments into India.
Why is GIFT City important?
GIFT City is essential as it aims to become a global hub for capital flows, catering to high-growth sectors and enhancing India's global financial standing.
What reforms are proposed for GIFT IFSC?
Proposed reforms include enhancing infrastructure, accelerating regulatory changes, and expanding participation in the India International Bullion Exchange.
How does GIFT IFSC aim to attract foreign capital?
GIFT IFSC plans to attract foreign capital through structured and well-regulated channels, emphasizing India's technological advantages and domestic market potential.
What role do financial regulators play in GIFT IFSC?
Financial regulators are expected to identify aspirational needs and implement measures to facilitate the growth and competitiveness of GIFT IFSC.
