GIFT IFSC is becoming a key international financial hub for India’s Viksit Bharat 2047 goal, says CEO Sanjay Kaul. It has already mobilized USD 54.2 billion in overseas funds, establishing itself as a trusted platform for global capital.
GIFT IFSC is strengthening its role as an international financial and banking centre, with its ability to mobilise overseas capital expected to become increasingly important as India works towards its Viksit Bharat 2047 goal, Sanjay Kaul, Managing Director and Group CEO of GIFT City, said in an exclusive interview with ANI.
The financial centre has seen significant overseas fund mobilisation in recent weeks, with banks raising around USD 54.2 billion through GIFT IFSC after the RBI opened a window for India to raise capital overseas. Around USD 27 billion of the total was raised between August 14 and August 31, Kaul said in an interview.
A Platform for Global Financial Intermediation
Kaul said the significance of the fundraising went beyond the headline number, pointing to the growing role of GIFT IFSC as a platform through which global financial intermediation can take place. The first phase of GIFT IFSC’s development involved establishing the regulatory framework, bringing more institutions into the ecosystem and creating market depth. The focus is now shifting towards establishing its position globally as a centre for financial intermediation, he said.
Fueling the Viksit Bharat 2047 Vision
This could assume greater importance as India’s financing requirements increase. Kaul estimated that the Viksit Bharat 2047 vision would require around USD 10–15 trillion in funding, making it necessary for the country to tap global sources of capital alongside its domestic financial system.
“Unless you have channels, platforms, from where those funds can be mobilised for purposes within the country, it will be a challenge to raise those funds,” Kaul said.
He said GIFT IFSC provides such a global platform, allowing international savings to be channelled into India. According to Kaul, this gives the Indian economy an additional financial option beyond its established domestic markets.
Growing Global Confidence
The recent mobilisation of funds also reflects growing confidence in the GIFT IFSC ecosystem, he said, attributing this to its regulatory framework, stable governance and continuity in policies. “Global markets now trust the ecosystem in GIFT IFSC,” Kaul said.
Future Ambitions: A Global Hub
Kaul said GIFT IFSC was becoming an important part of India’s financial infrastructure and would play a larger role in raising funds from global sources. Over time, he said, the centre’s ambition should extend beyond serving India’s funding requirements to facilitating global financial flows.
“Financial intermediation for the globe is what GIFT IFSC could move towards in the near future, Kaul said. (ANI)
(Except for the headline, this story has not been edited by Asianet Newsable English staff and is published from a syndicated feed.)