1,000 companies registered, ₹8.25 lakh crore in banking assets, and rapidly growing trading volumes signal India’s rising financial strength; experts highlight the role of rating agencies and long-term tax stability.
Gujarat – India’s GIFT City (Gujarat International Finance Tec-City) is rapidly evolving into a major international financial hub. At the BFSI Summit 2025, financial experts reviewed GIFT City’s progress so far and assessed its potential to emerge as a global competitor to established hubs like Dubai and Singapore.
Over 1,000 Companies Registered
IFSCA’s Executive Director, Deepesh Shah, said, “GIFT City is expanding at a remarkable pace. To date, over 1,000 companies have registered here. Just 3–4 years ago, this number was only 129 — an eightfold increase in a short span.”
Shah noted that while most Indian banking loans used to originate from overseas, GIFT City now facilitates banking operations worth nearly ₹8.25 lakh crore (approximately $100 billion). “Earlier, this figure was virtually zero. Today, India has created its own fully operational financial center,” he added.
Over 35 Active Business Sectors
Shah highlighted that GIFT City hosts around 35 different business sectors, including fintech companies, investment funds, foreign universities, and international financial institutions.
The city’s stock exchange now handles approximately ₹8.5 lakh crore (around $103 billion) in trading volumes every month, demonstrating rapid growth and strong global investor interest.
NSE International Exchange Leads the Market
V. Balasubramanyam, MD and CEO of NSE International Exchange, stated that MSC International, NSE’s subsidiary, now controls over 99% of the market share.
He added that both derivatives trading and open interest have seen substantial growth. Open interest in GIFT City has now reached ₹1.82 lakh crore (approximately $22 billion). Balasubramanyam noted, “In terms of open interest, NSE has now surpassed the Indian market by 4–5 times.”
Opportunity for Rating Agencies
Revati Kasture, CEO of CareEdge Global IFSC, emphasized that a successful financial hub requires more than just banks and investors — a credible rating agency is also crucial.
She noted that while rating agencies have historically been dominated by the U.S., a large economy like India should establish its own global rating agency to strengthen the credibility and stability of the financial system.
Tax Incentives and Long-Term Stability
Tushar Sachde, Partner at PwC, suggested that companies operating in GIFT City should receive long-term tax stability and tax holidays.
He explained, “Providing companies with a 15–20 year tax holiday will encourage long-term investment and foster business stability in the hub.”
In Summary
GIFT City is rapidly emerging as a global financial hub. With over 1,000 companies registered, ₹8.25 lakh crore in banking assets, and 35+ active business sectors, it represents India’s growing financial strength. Experts highlight that the presence of rating agencies and long-term tax stability will enable GIFT City to compete with global centers like Dubai and Singapore.
