Stakeholders seek fully tax-free regime at Gujarat IFSC

Stakeholders at the country's first international financial services centre GIFT City in Ahmedabad today demanded a fully tax-free environment to make it viable for participants.
The demand was put up at a meeting chaired by financial services secretary Hasmukh Adhia and various banking and capital market representatives here today.
According to sources, various views including that on taxation for the IFSC were presented by bankers, capital market participants and lawyers.
It was suggested that an international arbitration panel should be set up for resolution of disputes at the IFSC.
GIFT City managing director & chief executive Ramakant Jha, representatives from the Sebi, the Reserve Bank, the NSE, BSE MCX, foreign stock exchanges as well as certain Dubai-based companies among others were present at the meeting.

A number of reinsurance companies have expressed interest in opening offices at GIFT City. According to sources reinsurers which attended the meeting today with Adhia included Llyods, Swiss Re, Munikh Re and Scor.
However, they expressed concern over the tax issues which are creating a roadblock for opening their offices there.
Insurance companies which made representations during the meeting included New India Assurance, Bajaj Allianz General Insurance and ICICI Prudential Life apart from some insurance broking firms.