Govt set ups unified regulator for IFSC

The government has established International Financial Services Centres Authority to regulate all financial services in International Financial Services Centres (IFSCs) in Gandhinagar.

The unified authority would will be headquartered in Gandhinagar, Gujarat.

Currently, banking, capital markets and insurance sectors in IFSC are regulated by multiple regulators -- the RBI, Securities and Exchange Board of India (Sebi), and Insurance Regulatory and Development Authority of India (Irdai).

"The central government hereby appoints the 27th of April, 2020 as the date of the establishment of the International Financial Services Centres Authority and the head office of that Authority shall be at Gandhinagar, Gujarat," as per a notification.

Tapan Ray, MD and Group CEO, GIFT City has welcomed the government's decision to set up the IFSC Authority headquarters at Gandhinagar.

"This will provide a single window regulatory institution which would accelerate the development of India's first IFSC at GIFT City, Gandhinagar," he added.

He, further, said that both national and international institutions dealing with international financial services would utilise the IFSC platform for inbound and outbound investments with improved ease of doing business, thereby making GIFT IFSC a global financial hub.