India’s first IFSC becomes operational at GIFT City in Gujarat [ Current Affairs ]
First International Financial Services Centre (IFSC) of India opened to operate at Gujarat International Finance Tec (GIFT) City in Gandhinagar district of Gujarat. First International Financial Services Centre (IFSC) became operational after Union Finance Minister Arun Jaitley released the rules and regulations for this global financial hub.
- IFSC rules will allow companies incorporate outside India to raise money in foreign currencies by issuance and listing of their equity shares on stock exchanges within the IFSC.
- IFSC also seek to check the flight of trading in rupee and Indian securities to such offshore financial hubs and aim at creating a vibrant IFSC on the lines of those in Dubai and Singapore.
- They will also allow individual and institutional investors from India and abroad, including NRIs to trade and allows foreign and Indian stock exchanges to set up separate bourses within IFSC as subsidiaries.
- According to the rule, relaxes capital and other requirements for some time in order to facilitate exchanges, clearing corporations and depositories to set shop in the IFSC.
- It allows alternative investment funds and mutual funds that have set up in the IFSC to invest in the securities listed there.
- Published on: April 13, 2015