GIFT City Eyes Big Leap In Business Investments, Aims To Emerge As Financial Powerhouse

They plan to tap 500 billion dollar-worth of opportunities in External Commercial Borrowings (ECB), trade finance, wealth and asset management of High Net-worth Individuals (HNIs), foreign investment in Indian equities, ESG pool, lease rentals of airlines, and seaborne freight, among others — areas abounding with untapped opportunities. 

“GIFT City is at the forefront of India’s ambition to emerge as a global banking and financial powerhouse. With 34 IFSC Banking Units (IBUs) already operational, we are witnessing the creation of a vibrant ecosystem that is seamlessly connecting India with global financial markets," said Sanjay Kaul, MD and Group CEO, GIFT City. 

"The IBUs here are driving innovation in cross-border financing, foreign currency lending, trade finance, treasury operations, and wealth management — areas critical for India’s growth story and global integration,” he further said, speaking at the second edition of the GIFT International Banking Forum (GIBF) 2025 held in GIFT City on Friday. 

According to senior regulators and global bank CEOs, GIFT City has emerged as an attractive destination for Indian companies, foreign players, and NRIs . 

A Launchpad For Innovation

“As India transitions from being a delivery hub to a strategic centre of global finance, GIFT City will continue to anchor this transformation — serving as the launchpad for innovation, capital flows, and financial leadership on the world stage," Mr. Kaul highlighted. 

Meanwhile, experts say wealth and asset management of Ultra-High Networth Individuals (UHNIs) and HNIs is likely to grow close to 3.8 trillion dollars by 2030, while foreign investments in Indian equities are likely to come close to 900 billion dollars. 

“HNI's total Asset Under Management (AUM) is expected to rise to 3.5 trillion dollars. GIFT City will provide them the opportunity to invest in real-estate, cross-currency investment, and other avenues, as well as philanthropic work — all under one roof. GIFT City is an ideal destination to set up a family office, too,” said Pratik Shah, Partner and National Leader, Financial Services, EY. 

From 28 billion US dollars in 2021-22, the banking asset size of banks operating from GIFT City has increased manifold to 88 billion US dollars in 2024-25. The total assets increased to 93 billion dollars, as of July, and it is expected to cross the mark of 100 billion US dollars. 

The External Commercial Borrowings (ECBs) grew almost tenfold to 19 billion dollars in 2024-25, from 1.94 billion US dollars in 2021-22. In the current financial year, it stands (as of now) at 7.9 billion US dollars.  

Trade Finance, An Emerging Sector 

Trade finance is another emerging sector at GIFT City. Its volume jumped from 20 billion dollars in 2021-22 to 46 billion US dollars in 2024-25. It was worth 15 billion dollars in the first four months of the current fiscal year. 

GIFT City has set its eyes on lucrative sectors of leasing and financing in aircraft and ships, as well. Airlines are expected to pay 4-5 billion dollars per year for the next 10 years in aircraft leasing and financing, while annual seaborne freight that is paid to foreign shipping companies is expected to be 75 billion dollars.  

“We began operations in 2020, starting with corporate finance and retail finance. Now, we offer services across insurance, stock broking, finance, aircraft and ship leasing, fintech, global treasury centre, international bullion exchange, portfolio managers, and clearing corporations, among others. Even foreign universities have started operations here. In 2020, we had 89 registered operators; now, we have over 1,000 registrations,” said Dipesh Shah, Executive Director, IFSC Authority.