Ahmedabad’s GIFT City, after successfully bidding for the 2030 Commonwealth Games, is geared up for development. The focus is on infrastructure and residential growth. The aim is to attract more residents. The bid for the 2030 Commonwealth Games has renewed attention on GIFT City. It stands for Gujarat International Finance Tec-City, which is a central business district in Gujarat’s Gandhinagar district.
Gujarat International Finance Tec-City (GIFT City) in India has rapidly emerged. It serves as the country’s answer to global financial hubs like Dubai and Singapore. It is reshaping how global capital accesses India and also changes how Indian companies tap offshore funding.
From crisis to global vision
In the aftermath of the 2001 Bhuj earthquake and the 2002 riots, Gujarat’s economy and investor confidence were badly shaken. This prompted then chief minister Narendra Modi to court industry leaders. He launched the Vibrant Gujarat Summit in 2003 to restore the state’s image. His long-term response included conceiving GIFT City in 2007. It was envisioned as India’s first integrated greenfield smart city and international financial services centre (IFSC). This city was designed to offer what Singapore, Dubai, Hong Kong, and London provide to global finance. Gujarat International Finance Tec-City Company Limited (GIFTCL) is a joint venture. It was formed between state agency GUDCL and IL&FS. This venture aims to execute a 900-acre project on the banks of the Sabarmati. It is strategically located within minutes of Ahmedabad airport and the upcoming bullet train terminal.
Global finance magnet
GIFT City has turned into India’s flagship smart financial hub nearly two decades later. It draws global banks chasing the country’s expanding appetite for US dollar–denominated debt. This shift is moving business away from traditional Asian centres. Banks operating from GIFT have disbursed close to 20 billion dollars in foreign currency loans. These loans have been given to Indian corporates in FY 2024–25. The ecosystem now spans more than a thousand registered entities. Several dozen banks manage around 100 billion dollars in assets. This has pushed GIFT to its best-ever 46th rank on the Global Financial Centres Index.
Taking on Dubai and Singapore
Regulators and policymakers say GIFT City has already overtaken Abu Dhabi in terms of capital raised. They are now targeting Dubai, Singapore, and Hong Kong as the next benchmarks. Aggressive incentives have been implemented. These include a 10-year income-tax holiday for key activities, zero GST on IFSC transactions, and exemption from securities transaction tax. These measures have encouraged Indian firms to shift their external commercial borrowings. Full state waivers on stamp duty and electricity duty have also played a role. They are moving from older offshore hubs to GIFT. This shift is lowering costs and cutting reliance on foreign jurisdictions.
Deep capital market and bullion push
The government aimed to build depth in onshore markets. It launched the India International Bullion Exchange (IIBX) at GIFT. This exchange is the country’s first dedicated bullion bourse. It aims to channel gold trade through a transparent, regulated onshore platform. Derivatives activity is also surging. GIFT Nifty—NSE’s offshore derivatives contract migrated to the IFSC—clocks monthly turnover upwards of 100 billion dollars. This signals rising foreign investor comfort with the jurisdiction.
Banks, insurers and market players
Standard Chartered, HSBC, J.P. Morgan, Citi, Deutsche Bank, BNP Paribas, Barclays, and other global majors now run IFSC Banking Units out of GIFT City. These units support trade finance, foreign currency loans, and treasury operations. Insurance activity has scaled up through more than 50 insurers and intermediaries. These include GIC Re, LIC, and large private players. Together, they have written hundreds of millions of dollars in premiums from the hub. Regulators highlight that IFSC units have facilitated tens of billions of dollars in loans and trade finance. They have retained intermediation onshore. Additionally, they align with India’s broader growth strategy.
Fintech, technology and GCC growth
GIFT City has become a magnet for IT and fintech beyond traditional finance. It hosts major firms such as Wipro, Infosys, Cognizant, and Hexaware. Alongside these, more than a dozen fintechs and sandbox participants are developing new-age financial infrastructure. The city is also evolving into a global capability centre (GCC) hub. Technology majors are establishing operations here. Consulting firms like Accenture and Capgemini are setting up campuses. Sector specialists in semiconductors and energy are also setting up large operations.
Smart city infrastructure advantage
What distinguishes GIFT City from conventional business districts is its utility backbone. A 16-kilometre underground tunnel carries power, water, sewage, and waste systems. This design enables maintenance without road digging and preserves urban aesthetics. The city is built around district cooling, automated waste collection and integrated utility management. This setup delivers near 99.999% power reliability. It also features a command-and-control centre that tracks tens of thousands of data points in real time to manage transport, utilities and safety.
Talent, education and workforce pipeline
GIFT is situated between Ahmedabad and Gandhinagar. It benefits from proximity to premier institutions such as IIM Ahmedabad, IIT Gandhinagar and specialised universities. These institutions feed a steady pipeline of graduates in AI, data science, IT and finance. It is also positioning itself as a gateway for international education in finance and technology. Foreign universities from Australia and the UK are opening campuses. The workforce in the city is projected to grow sharply. It is expected to reach one lakh and beyond by the end of the decade.
Real estate and lifestyle momentum
Demand from banks, GCCs, and fintechs is strong. It has driven commercial occupancy to very high levels. This demand spurred a steady rise in residential sales. Developers and investors are attracted, eying long-term yields. GIFT City offers luxury housing and metro connectivity. The buzz around Ahmedabad’s hosting of the 2030 Commonwealth Games adds to its appeal. It is increasingly marketed as a live-work-play destination. It represents a long-term bet on India’s global financial integration.
Dubai–Singapore rival in the making
Planners frame GIFT City as a project of national importance. It is central to India’s “Viksit Bharat 2047” vision of becoming a developed nation. The city aims to be a leading financial power. As more global banks, funds, fintechs, and universities cluster in the IFSC, GIFT City is steadily evolving. It is transforming from a state-led experiment into a credible rival to Dubai and Singapore. This evolution is significant for regional financial flows into India’s 5-trillion-dollar economy.
For all latest updates Follow theviralmail on X, Facebook, and Instagram
