K. Rajaraman highlights GIFT City’s rapid development and strategic focus on green finance and fintech as India aims for its $5 trillion economy milestone by 2027.
K. Rajaraman has cast GIFT City as India’s main bridge to global capital, arguing that the International Financial Services Centre in Gujarat is becoming the country’s most important platform for inbound investment, outbound flows and complex cross-border finance. Speaking at the HSBC-NDTV Global Connect event, the chairperson of the International Financial Services Centres Authority said the regulator’s aim was to build a framework that could match, and in some areas surpass, established international financial hubs. “Our primary objective at IFSCA is to provide a regulatory framework that is on par with, if not better than, established global financial hubs,” Rajaraman said.
His remarks reflect the broader pitch behind GIFT IFSC: a single-window regulatory system intended to reduce friction for overseas funds, aircraft leasing firms and financial technology companies. By consolidating oversight that would otherwise sit across several domestic regulators, IFSCA has sought to make the centre easier to navigate for foreign institutions. Rajaraman said that confidence in the jurisdiction was growing, pointing to the presence of major international banks, including HSBC, as evidence that global firms are increasingly willing to use GIFT City not just for trade finance but also for treasury operations and structured products.
In an interview with Business Standard in June, Rajaraman said the next phase of development would focus on deeper bond markets, more leasing activity and stronger links with global exchanges once market volatility eases. That direction has been echoed by outside analysis. A report by HSBC and EY said GIFT City has already developed into a significant international finance hub, with about $100 billion in assets and $90 billion in monthly market turnover, helped by its unified regulatory set-up and modern infrastructure.
Rajaraman also linked GIFT City to two areas he sees as central to future growth: green finance and fintech. He said IFSCA has introduced frameworks for green bonds and sustainable finance to draw ESG-focused investors into projects aligned with India’s net-zero goals, while sandbox regimes allow financial technology firms to test products in a live but lightly regulated environment. He connected that ambition to India’s wider economic goals, arguing that as the country moves towards its $5 trillion economy target, demand will rise for infrastructure funding, sophisticated financial services and easier capital movement across borders. Union Minister Piyush Goyal has repeatedly said India remains on track to reach that milestone by 2027, underscoring how closely GIFT City’s growth is tied to the government’s broader economic narrative.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
