Now GIFT City to come up with financial services enclave

The enclave will act a dedicated area for banks, financial services and insurance companies to operate in the domestic market

After the International Financial Services Centre (IFSC), post Vibrant Gujarat, Gujarat International Finance Tec-City (GIFT City) is now planning to launch a 'Financial Services Enclave' for domestic operations of banks and financial institutions.

The enclave will act a dedicated area for banks, financial services and insurance (BFSI) companies to operate in the domestic market.

What's more, according to senior officials at GIFT City, the state government anticipates around 60 national and international banks and financial institutions setting up shop in the enclave that will provide all necessary and integrated infrastructure for the sector. Apparently, the enclave will be spread across an area of 1.4 million sq ft.

"In the domestic area, there is 1.4 million sq ft of space which will house 10 blocks and accommodate around 60 companies. Moreover, around 12000 jobs can be created. It is basically meant for national and internationals BFSI companies where leading banks and insurance firms will be operating from the enclave. While the IFSC is part of a designated SEZ area, this one is a domestic area," said senior officials at GIFT City.

Officials of GIFT City are planning to meet and interact with BFSI delegations from various countries during Vibrant Gujarat Summit, following which the enclave will be formally launched. "During Vibrant Gujarat Summit, we will have interactions wherein we will try to understand their requirement. GIFT has lot of infrastructure to offer which every bank or financial institution would need," said GIFT City officials.

GIFT City is also banking on attracting leading domestic and foreign BFSI firms on the back of providing low cost infrastructure.

"Infrastructure of international standards will be offered at a very low cost within the enclave. Not only foreign banks, but also our Indian banks are planning to have corporate finance operations but the cost of operating from a new centre is very high. But the enclave will look to solve this problem by enabling BFSI firms to set up shop at a very low cost," said GIFT City officials, adding that since each financial institution want similar environment to work in, the enclave will look to provide the same.

The enclave is expected to be launched by the middle of February 2015.