India's Gujarat International Finance Tec-City (GIFT City), located in Prime Minister Narendra Modi's home state of Gujarat, is experiencing a surge in interest from global asset management firms, including Standard Chartered and Jio BlackRock, a joint venture between Jio Financial Services and BlackRock [1]. Last week, Standard Chartered announced plans to launch its Signature CIO funds from GIFT City, with the rollout expected 'in the coming weeks,' according to Samir Subberwal, the bank's global head of wealth solutions, retail products, data and analytics [1]. The bank, which began operating in GIFT City in 2020, intends to expand its suite of wealth solutions over time, aiming to capitalize on what Subberwal describes as 'one of the world's fastest-growing international financial centres' [1].
In May, Jio BlackRock secured regulatory approval to launch funds from GIFT City, further highlighting the growing appeal of the financial hub for international asset managers [1]. The momentum is attributed to favorable regulations, a growing local investor base, and tax holidays, which have made GIFT City increasingly competitive with global financial centers such as Singapore, Hong Kong, and Dubai [1]. Government data indicates that the number of fund management entities in GIFT City rose to 217 in May this year, up from 194 in November last year [1].
Experts note that a strong domestic appetite for global markets, relaxed rules for foreign currency usage, and improved tax structures are driving both inbound and outbound investment flows through GIFT City [1]. Rajesh Gandhi, Partner at Deloitte India, stated that recent government reforms have put GIFT City on par with other international financial centers, and his firm has observed an uptick in funds being set up in the city [1].
GIFT City is positioning itself as a gateway for international investors seeking exposure to India's growth story, as well as for resident Indians looking for international wealth solutions [1]. The city is now seen as the most convenient route for Indian investors to access overseas markets, particularly the U.S., according to industry experts [1].
CONCLUSION
GIFT City is rapidly emerging as a key international financial hub, attracting major global asset managers due to regulatory reforms, tax incentives, and strong investor demand. The recent announcements by Standard Chartered and Jio BlackRock underscore the city's growing importance in global finance. Market participants are likely to view GIFT City as a significant gateway for both inbound and outbound investments.