GIFT City is no longer just an ambition on India’s financial map. It is starting to show real scale.
As highlighted in the Economic Survey tabled in Parliament on January 29, India’s first International Financial Services Centre (IFSC) reached a significant milestone in its growth trajectory. As of November 30, 2025, 1,034 domestic and international entities are registered at GIFT City.
That growth is also reflecting on the global stage. In the Global Financial Centres Index (GFCI), GIFT City climbed nine positions to rank 43rd among 120 global financial centres in 2025. Its fintech ranking improved by 10 positions over the past year.
This steady rise highlights how GIFT City is moving from concept to credibility.
Market Performance: Global Rankings Tell the Story
The Economic Survey points to clear progress in GIFT City’s global standing.
- 1,034 entities registered as of November 30, 2025
- GFCI rank: 43rd, up nine places year-on-year
- Fintech ranking improved by 10 positions in one year
What stands out is consistency. The gains are not limited to just one segment. Banking, fintech, capital markets, and specialised financial services are all expanding in parallel.
Main News: Why GIFT City Is Moving Up the Rankings?
The Economic Survey attributes GIFT City’s rise to a few structural factors that are now falling into place.
First, there is a dedicated regulatory framework for fintechs. Instead of forcing new-age financial businesses into legacy rules, the IFSC ecosystem is being built with innovation at its core.
Second, academic partnerships are strengthening the talent pipeline. This ensures that growth is not just capital-led, but also people-led.
Third, the development of innovation-focused financial infrastructure within the IFSC is helping attract both domestic and overseas players.
Together, these factors are creating momentum that global indices are now beginning to recognise.
Company Details: What’s Happening Inside GIFT City?
The Survey offers a snapshot of how different financial segments are evolving within GIFT City.
IFSC Banking Units
- Managed assets exceeding $100 billion as of November 2025
This indicates rising confidence among global and Indian banks operating within the IFSC framework.
Capital Markets Activity
Capital market operations at GIFT City continue to deepen, driven by:
- High-volume derivatives trading
- Significant debt listings
- Growing presence of ESG-linked securities
These developments are gradually positioning GIFT City as an offshore-style market within India’s borders.
Specialised Financial Services
The Survey highlights expansion in:
- Aircraft leasing
- Ship leasing
This is a notable shift, as these services directly reduce India’s dependence on foreign leasing jurisdictions.
India International Bullion Exchange (IIBX)
Operational since July 2022, the IIBX has:
- Strengthened bullion trading infrastructure
- Added depth to commodity-linked financial activity within the IFSC
Education and Talent: A Quiet but Crucial Push
Human capital is emerging as a key pillar in GIFT City’s long-term strategy.
The Survey notes that global academic institutions have begun setting up a presence at GIFT IFSC.
- Two Australian universities are already operational
- Offering postgraduate programmes in:
- Fintech
- Cybersecurity
- Business analytics
- Computing
- Offering postgraduate programmes in:
- Two UK universities have received in-principle approvals to establish similar campuses
This academic footprint supports the creation of a skilled, locally available workforce aligned with global financial standards.
Key Developments in 2025 That Stood Out
The Economic Survey flags two major events in 2025 that highlight GIFT City’s expanding role.
Foreign Bond Listing Milestone
- In June 2025, Sri Lanka’s DFCC Bank listed green bonds worth LKR 2.5 billion
- Listed on the NSE International Exchange
- Marked the first foreign corporate bond listing at a GIFT IFSC exchange
This signalled GIFT City’s emergence as a regional capital-raising hub.
Launch of the Foreign Currency Settlement System (FCSS)
- Launched in October 2025
- Enables real-time or near real-time settlement of foreign currency transactions
- Allows IFSC banking units to transact without routing payments through overseas correspondent banks
According to the Survey, FCSS reduces:
- Settlement time
- Transaction costs
It also improves:
- Transaction security
- Efficiency in cross-border payments
Regulatory Backbone: Role of IFSCA
The International Financial Services Centres Authority (IFSCA) was established in April 2020.
As the unified regulator for IFSCs, IFSCA oversees:
- Financial products
- Financial services
- Financial institutions operating within GIFT City
This single-regulator model has been central to simplifying compliance and improving regulatory clarity.
Why GIFT City Matters: The Bigger Picture?
Before GIFT City became operational, Indian companies often routed:
- Capital raising
- Offshore investments
through jurisdictions such as:
- Singapore
- Mauritius
- Cayman Islands
These destinations offered more favourable tax and regulatory environments.
The IFSC model aims to reverse that trend by:
- Onshoring global financial activities
- Attracting overseas financial institutions
- Encouraging foreign branches of Indian banks to operate from India
The broader objectives are clear:
- Generate high-value employment
- Mobilise global capital
- Reduce dependence on offshore financial centres
Summary: GIFT City’s Growth Is Becoming Measurable
The Economic Survey paints a picture of steady and structural progress.
- 1,034 registered entities
- 43rd global rank in GFCI
- Strong growth across banking, capital markets, bullion, and specialised services
- Rising global academic presence
- Key infrastructure launches like FCSS
- Landmark foreign bond listing in 2025
GIFT City is no longer just building capacity. It is starting to demonstrate scale, relevance, and global integration—one data point at a time.
Source: Moneycontrol
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