Prime Highlights
- GIFT City’s IFSC is rapidly emerging as a strong global financial competitor with over 1,034 entities.
- Global firms prefer it as an alternative to Singapore and Hong Kong due to supportive regulation and modern infrastructure.
Key Facts
- The IFSC includes 38 banks holding combined assets of $100.14 billion, underscoring its rising international significance.
- GIFT City spans 1,000 acres and will expand to over 3,300 acres, featuring India’s first 16-km underground utility tunnel.
Background
GIFT City’s International Financial Services Centre (IFSC) is fast emerging as one of India’s strongest entrants in the global financial landscape, with more than 1,034 registered entities now operating from the hub. The list includes 38 banks that together hold assets worth $100.14 billion, placing the centre among Asia’s growing competitors to financial hubs like Singapore and Hong Kong.
GIFT City covers about 1,000 acres now and will grow to more than 3,300 acres. It is designed as a smart city with offices, homes, and basic services, not just a financial hub. The idea started in 2007 and grew after 2011 through a public-private partnership. Later, the IFSC was set up under the SEZ rules to support international banking and cross-border financial activities from India.
The business ecosystem today covers capital markets, fund management, insurance, fintech, ship and aircraft leasing, and global in-house centres. The number of companies operating from IFSC grew sharply, rising from 82 in October 2020 to 409 by July 2025. Global firms increasingly view GIFT City as a strong alternative to established offshore hubs, supported by favourable regulation, tax benefits, and modern physical and digital infrastructure.
One of GIFT City’s most distinctive features is its 16-km underground utility tunnel that carries power cables, ICT lines, water pipelines, and sewage systems. This model removes the need for road digging during maintenance or new construction. “This is a model in India,” said Janki Jethi, Senior Vice President, Water Infrastructure, noting that the tunnel makes GIFT City the country’s first “digging-free city.”
Above this network, the City Command and Control Centre (C4) acts as the real-time nerve centre. Using IoT and SCADA technology, it monitors more than 70,000 points across power, water, wastewater, and cooling systems. The C4 enables faster incident detection, emergency response, and predictive maintenance.
IFSCA Chairman K Rajaraman said GIFT City will open major new business and employment opportunities in the coming years.
