City Gift Financial News

Viksit Bharat. This approach will strengthen India’s global competitiveness by driving rapid decarbonization and digitization across the entire economy. This can help India leapfrog to the global production frontier and enable us to compete successfully with the world’s leading economies such as the US and China.

import of precious metals from the UAE under a free trade agreement with India. GTRI demanded an investigation, citing the negative impact on the domestic jewellery industry and potential annual revenue loss for India, PTI reported. The key issue centers around the India-UAE Comprehensive Economic Partnership Agreement (CEPA) that permits unlimited imports of gold, silver, platinum, and diamonds from the UAE into India with zero tariffs in the coming years. GTRI's report highlighted that addressing these issues is crucial to ensure the integrity of import practices, safeguard domestic industries, and prevent significant revenue losses. The report noted that the zero-tariff policy under CEPA could cause an annual revenue loss of Rs 63,375 crore due to duty-free imports of gold and silver, based on FY2024 import levels. This policy is also likely to shift import business from banks to a few private traders and replace top suppliers with Dubai-based firms.

In a game-changer for frequent travellers and students studying abroad, the Reserve Bank has allowed resident Indians to open foreign currency accounts in Gujarat International Finance Tec-City, or Gift City.

Power sector financier REC Limited has raised 31.96 billion Japanese yen through a 5-year green loan, with the transaction being conducted from Deutsche Bank’s Gift City branch. The loan, which is equivalent to $200 million, will be used to finance eligible green projects in India, REC said in a statement. “This successful transaction is in line with REC’s commitment to enhance its green energy financing and sustainable projects capabilities as well as the global community’s support for sustainable development projects in India,” said Vivek Kumar Dewangan, CMD, REC.

Asset management companies (AMCs) in Gift City, Ahmedabad, are set for a major boost following a crucial regulatory change by the Securities and Exchange Board of India (Sebi). By eliminating the restrictive 50% cap on investments from Indians abroad in India-focused funds, Sebi has removed a significant hurdle that has long impeded the growth potential of these funds. For years, AMCs faced a stringent requirement: for every dollar accepted from non-resident Indians (NRIs) and overseas citizens of India (OCIs), an equivalent dollar had to be sourced from foreign investors.

Karnataka government on Friday made a pitch to the Centre for establishing a dedicated Central Business District, modelled on the lines of Gujarat’s GIFT City in the state, besides seeking faster clearance for multiple projects across sectors. The demand was part of a ‘wishlist’ IT & BT minister Priyank Kharge sent to Union finance minister Nirmala Sitharaman and Union IT minister Ashwini Vaishnav ahead of the Union Budget. Karnataka, he wrote, wanted to set up a Central Business District that would act as a global financial and IT hub. “The state has a vibrant economy with IT, BT, aerospace, automotive, textiles, and heavy industries forming the cream of the investment pie. The state is strategically located, and is well-positioned to replicate a similar business [on the lines of GIFT city] hub in its bosom,” he said.

In May, the International Financial Services Centres Authority, or IFSCA, the unified financial sector regulator at Gift City, sent a clutch of recommendations to the central government. One suggestion was to bring parity in the taxation of funds set up in Gift City with that applicable for domestic mutual funds.

Daibiru Corporation, a subsidiary of the Japanese business conglomerate Mitsui O.S.K. Lines has invested Rs 1,000 crore in an under-construction office complex in Gurgaon, being developed by DLF in a joint venture with the global investment and development firm Hines, according to three persons familiar with the deal. Hines, which holds a 33% stake in the joint venture, facilitated the exit of the Abu Dhabi Investment Authority (ADIA) by bringing in Daibiru as an investor. Both companies have created Daibiru Hines Trust at GIFT City, Gujarat, and plan to invest in more commercial assets across the country.

Global players such as hedge funds have tapped into the global networks of foreign banks in India to avail of an Offshore Derivative Instrument (ODI) referred to as a Total Return Swap and gain much-desired exposure to rupee-denominated debt as the foreign flows push down local bond yields.

Gujarat International Finance Tec-City Company Ltd (GIFTCL) has received the highest bid of Rs 6,557 per sq ft totalling over Rs 342 crore for development rights of a proposed residential project in the special economic zone (SEZ) of GIFT City. Ahmedabad-based Nila Spaces has outbid 10 other bidders to emerge as the highest bidder with its record of Rs 6,557 per sq ft for development of 5.22 lakh sq ft on a 1.37-acre plot. The bids were opened on Friday evening. This is the highest-ever price being paid for development rights in GIFT City. Prior to this, development rights here had attracted the highest bid of Rs 4,355 per sq ft for a hotel project in March and Rs 3,870 per sq ft for a residential project in February.

Nemo judex in causa sua, which roughly translates as: “No one should be a judge in their own cause." In this article, while we will try to establish a structure to personal financial audits, we should also acknowledge that since we are emotionally attached to our finances (and we also have our own biases), it would be necessary at times and for some people to have some external intervention, like getting professional investment advisers to take a look at their finances and identify gaps to fill up fast. Now, coming to the audits. The purpose of a personal financial audit is to take a look at all aspects of your finances.

Aditya Birla Sun Life Mutual Fund launched one of India’s first global funds from Gift City (registered with the International Financial Services Authority or IFSC) last year. It had its first close in September 2023, raising $33 million, mostly from resident Indians and institutions. 

Reserve Bank of India will boost ongoing efforts towards the internationalisation of the rupee by bringing regulatory changes for non-residents, while taking steps to bolster the GIFT City’s appeal vis-à-vis other international financial centres. “Efforts are underway towards internationalisation of the Indian Rupee (INR) through settlement of bilateral trade in local currency,” RBI officials wrote in the central bank’s annual report for 2023-24. “To promote the internationalisation of INR and support local currency settlement with partner countries, it is necessary to liberalise the regulations relating to INR accounts for non-residents,” they wrote.

MUMBAI:In a significant setback to Gift City's ambitions of becoming a global financial hub, the much-anticipated merger between the two international exchanges located there, NSE IX and India INX, has been called off, according to two persons aware of the development.India INX is a subsidiary of BSE Ltd, while NSE IX is led by the National Stock Exchange Ltd.The merger was expected to enhance trading volumes and attract international investors to Gujarat's Gift City, where the average daily turnover on international exchanges runs into billions of dollars.The talks were called off by the BSE because discussions, on since 2022, had failed to make any headway, said one of the persons cited above.A BSE spokesperson confirmed that the merger talks are "off the table" but declined to comment on the reasons for the decision. Attempts to reach a spokesperson of the National Stock Exchange (NSE) were unsuccessful."The merger was driven by the IFSCA's objective of making Gift City a global financial centre rivalling the likes of Singapore, Hong Kong, Luxembourg, and Dubai.

Finvolve, a joint venture of India Accelerator and Finolutions, has closed its two maiden funds at a total corpus of Rs 100 crore, founder Apoorva Vora told ET. The Mumbai-based angel investment firm takes a unique approach and curates a deal flow of startups to wealth managers only, for them to be able to make returns for their clients.

₹8,600 crore and its loan book stands at around ₹59,698 crore. In FY24, the company disbursed around ₹25,089 crore, higher from ₹21,639 crore in FY23. The CMD said that in FY25, the loan disbursement would be over ₹30,000 crore.

Gujarat International Finance Tec-City (GIFT City) will soon take another step to resemble state-of-the art global finance centres as the hub is set to launch its own foreign currency settlement system, K Rajaraman, chairperson of the International Financial Services Centres Authority (IFSCA) told Bhaskar Dutta in an interview. He also listed out the latest steps being taken by the IFSC Authority to «onshore what is offshore». Edited excerpts: Markets have been telling us about the development of an international-style instant foreign exchange settlement system in GIFT City. What is happening on the ground?

. “India, I think, is moving forward quickly and therefore I think has a very good chance with our brand to grow faster than China," he said. Drew said more Western companies will eventually invest in India, with the country benefitting from the West's ‘China plus one’ strategy, referring to plans to avoid investing only in China and diversify businesses into other countries. “I would also like to think that it is due to the democracy (in India) and also the availability of not only cheap but educated labour," he said in an interview.

Vivek Joshi on Wednesday said increasing Free Trade Agreements (FTAs) would be a key strategy for enhancing India's financial services exports. Inaugurating a workshop on financial services in FTAs here, Joshi highlighted the pivotal role of financial services in India's export strategy. The workshop organised jointly by Department of Financial Services (DFS) and Exim Bank brought together key stakeholders from the government bodies and academia to delve into the intricate dynamics of FTAs and the pivotal role of financial services in the new-age FTAs. India has significant potential to capitalise on the growing demand for financial services globally, particularly with the emergence of GIFT City as a major hub for financial services, Export-Import Bank of India (Exim Bank) said in a statement.

REC Ltd on Sunday said it has received RBI's approval to set up a subsidiary in GIFT City, Gujarat. The proposed subsidiary will engage in a range of financial activities as a finance company within GIFT, including lending, investment, and other financial services, a company statement said. According to the statement, REC Ltd, under the Ministry of Power and a leading NBFC, has received a 'No Objection Certificate' (NOC) from the Reserve Bank of India (RBI) for setting up a subsidiary in Gujarat International Finance Tech-City (GIFT) in Gandhinagar, Gujarat. The decision to expand operations into GIFT, a burgeoning hub for financial services in India, comes as REC continues to diversify its portfolio and explore new avenues for growth, it stated.

NSE International Exchange (NSE IX) has received US Securities Exchange Commission (SEC) class relief, allowing US clients to participate in trading Equity Index Option Contracts on the bourse, according to a statement. The class relief allows NSE IX members to get acquainted with equity indices at NSE IX through activities with approved broker-dealers and financial institutions in the US. Also, this class relief permits eligible broker-dealers and large financial institutions based in the US to trade on these index derivatives options contracts through NSE IX members, subject to compliance with the applicable laws, the bourse said in the statement on Friday.