Bringing Endless Global Opportunities At India’s First International Financial Services Centre
At a time when India is steering clear of the other countries in terms of growth, there’s never been a better time for businesses to realise greater business potential by taking their business global. And to be able to do that within the comfort of our country itself makes things even more exciting. India now joins the elite group of countries who have an IFSC to enable this opportunity, with GIFT City in Gujarat.
What is an International Financial Centre?
IFSC serves customers outside the jurisdiction of the domestic economy and deal with flow of finance, financial products and services across borders. It offers a rational legal regulatory framework, developed infrastructure, and better tax benefits
Dubai International Financial Centre. Image Source: http://english.alarabiya.net/
Hongkong International Financial Centre. Image Source: www.topchinatravel.com/
Shanghai International Financial Centre. Image source: https://www.aecom.com/
It is primarily a global hotspot that plays a key role in the capital markets & local economies, encompassing several of the world’s financial stalwarts. Of particular mention are those that are envisaged as special economic zones, in order to advance business activity, especially in terms of finance & technology sectors.
The IFSCs in Singapore,London, New York, Tokyo, Shanghai, Zurich & Dubai and other countries have already proved to be successful in the many years that they have been functional.
India’s 1st International Financial Services Centre
While emerging economies are playing an increasingly bigger role in shaping global economic growth, Gujarat International Finance Tec-City (GIFT City) is India’s answer to the world. Reckoned to be India’s 1st International Financial Services Centre, GIFT City will provide a well-disposed platform for international financial services to operate from and to specialise in the exchange of high value-added International Financial Services.
Image Source: http://www.giftgujarat.in/
The Union Budget 2018 has given several major tax incentives to International Financial Services Centre (IFSC) and this will give a huge impetus to India’s first IFSC at Gujarat International Finance Tec-City (GIFT).
GIFT City is at present, the only International Financial Tec-City which will carry out direct dealings in the international market. It is a development which has residential, commercial real estate, as well as state of art hospital planned, and is slated to be a globally benchmarked International Financial Services Centre.
GIFT is being designed to be at or above par with presently acknowledged globally benchmarked International Financial Centres.
A Fully integrated city with a walk to work culture, it has the next-in-class infrastructure, connectivity, people, technology and legal framework – emerging as a platform for businesses across the world.
Benefits of operating from an IFSC in India:
- Only place in India which permits Offshore transaction
- Strong, globally accepted regulatory and legal process
- Transparent operating environment, complying global best practices
- Foreign reinsurance permitted to set up and cater to other Asian countries without any presence in India
- Liberal tax regime for 10 years
- Pool of skilled professionals
- 10 year holiday with waiver on Corporate and Income tax
- Minimum Alternate Tax (MAT) - 9% for IFSC units as against usual 18%
- Security Transaction Tax(STT), Commodity Transaction Tax (CTT), Dividend Distribution Tax (DDT) and Long Term Capital Gain (LTCG) – NIL
- GST exemption for Insurance Intermediaries – Substantial cost saving
- Short term capital gain tax exemption for Foreign Investors
Brigade International Financial Centre – A comprehensive financial industry ecosystem
Brigade International Financial Centre, set within GIFT City’s 900-acre financial masterplan, you would discover that this is a one of a kind office ecosystem that will cater to the futuristic needs of the Global Financial & IT services sector. With a total development of over half a million sq.ft. underway, the first phase of 0.3 million sq.ft. has already been launched and will be ready for fitouts by May 2018. The 14-storeyed office tower is Brigade’s first ever project in an International Financial Services Centre. The Group is proud to be partnering GIFT in this visionary initiative.
The landmark project was unveiled at an exclusive preview event presided over by M R Jaishankar - CMD, Brigade Group, Vishal Mirchandani - CEO (Retail and Commercial) and Ajay Pandey - CMD, GIFT City on 26th March at Bandra Kurla Complex, this event was well attended by many noted International Property Consultants, people from the Media & various other dignitaries, and paved the way for the grand future of International Financial Services in India.
- Grade A Development of approx. 0.3 million sq. ft. SEZ space
- Employment generation potential for over 5,000 people
- Hospitality: Best-in-class international brand business hotel with 170+ rooms
Brigade in partnership with GIFT has embarked on an ambitious project, to develop office towers and a hotel in GIFT City, Gujarat.
A perfect fit for enterprising businesses operating in the Financial & Technological sector, Brigade International Financial Centre boasts of world-class infrastructure which is at par with any other international facility.
Brigade International Financial Centre ideally suited for:
- Domestic and Multinational Banks
- Insurance Firms
- Foreign Exchange Companies
- Financial Technology Firms
- Financial Support Services