GIFT City's USD 100 Billion Banking Boom: A Financial Hub on the Rise

GIFT City's banking assets have surpassed USD 100 billion, driven by heightened demand for trade finance and structured products. The compendium by HSBC and EY India outlines the regulatory and economic environment fostering growth at this financial hub, marking a significant milestone in India's International Financial Services Centre.

Banking assets in GIFT City have now exceeded USD 100 billion, marking a significant milestone for the International Financial Services Centre (IFSC) in Gandhinagar. According to a compendium by HSBC and EY India, this growth is fueled by rising demand for trade finance, treasury, and structured products.

The document delves into the regulatory, tax, and operational frameworks enhancing GIFT City's emergence as a financial powerhouse. It notes the expansion of International Banking Units (IBUs) and highlights a move beyond basic booking towards sophisticated financial services, such as structured finance and global treasury centers.

With cumulative debt listings surpassing USD 67 billion and over 1,000 registered entities, GIFT City is becoming a preferred venue for global bond issuances. The compendium predicts further growth, driven by key sectors including fund management and aviation leasing, strengthening its position in the global financial landscape.

(With inputs from agencies.)