 "GIFT IFSC announces launch of Phase-2 development")
According to GIFT City, response from realty developers as well as leading BFSI and IT players saw phase one development witnessing allotments of over 14 million square feet of built up area (BUA) in the SEZ and non-SEZ area for development of office towers, residential apartments and social facilities. The first phase of GIFT City, including the IFSC in the SEZ area, saw allotments made at an estimated investment of around Rs 9,600 crore.
"This year in April, Government of India notified the operating guidelines for IFSC related activities post which there has been a surge in demand from Banking, Capital Market and Insurance players for setting up their offshore businesses in GIFT SEZ area. More than 20 financial institutions have been allotted office spaces in the GIFT IFSC area and many more have shown interest," GIFT City stated in an official communique.
With the launch of Phase-2 development, GIFT City has initially invited proposals from developers to develop office towers in SEZ and Non-SEZ areas. The Government of Gujarat project with support from Central Government has taken up integrated development of a total 62 million square feet of built up area (BUA) spread over 3 phases for setting up India's first global financial hub on the lines of London, Dubai, Hong Kong & New York. On completion, GIFT project's aim is to provide 1 million direct and indirect jobs.
"India's first IFSC at GIFT City will put us on the world map as a Global Financial Centre in the league of other such hubs at London, Hong Kong, Singapore & New York. The response from various major players in the BFSI, IT and realty segments for the first phase development of this mega project has been in line with our expectations. We expect the second phase to do even better and attract many more players, both from India as well as globally to participate in GIFT City and its IFSC project in GIFT SEZ," said Ajay Pandey, MD & Group CEO, GIFT City.
According to Pandey, development of completed infrastructure, project single window clearance and conducive regulatory environment have boosted response from the concerned players for development in GIFT City.
Talking about IFSC, Pandey said that the centre was operational with commencement of IFSC Banking Units (IBUs) by Yes Bank and Federal Bank in November 2015.
"In order to meet the growing demand in the SEZ - IFSC area, we need more office buildings to provide the required office space. Leading financial services players like State Bank of India, LIC of India, Reliance Capital, BSE Brokers' Forum etc. are developing their own facilities for their various operations in GIFT City. While reputed developers like Hiranandani Group, Brigade Group, and others have taken up development of offices, residential and hotel projects for the occupants in GIFT City. WTC Noida Development Company is developing Gujarat's first World Trade Centre (WTC) in GIFT City which is under construction," Pandey said.
The Government of India in April 2015, operationalised IFSC at GIFT City by issuing operating guidelines. GIFT IFSC is receiving excellent response from the financial services sectors covering Banking, Capital Market and Insurance. GIFT IFSC has already made allotment to around 20 institutions, including leading names like SBI, IDBI Bank, ICICI Bank, Kotak Mahindra Bank and YES Bank. GIFT has also signed Memorandum of Understanding (MoU) with various leading Capital Market players namely, BSE, NSE, MCX and DMCC. Recently NSE has signed MoU with London Stock Exchange for setting up global trading platform at GIFT IFSC SEZ. From the Insurance sector, GIC and New India Assurance have also received allotment in GIFT IFSC.
Meanwhile, IL&FS, one of the promoters of GIFT City has taken up development of multiple projects and has already developed two tallest office towers of 1.6 million square feet of BUA. Various Financial Institutions and IT Companies have taken up space in the IL&FS tower. Narsee Monjee Education Trust is operating an ICSE School and Tata Communication has developed a Tier IV Data Centre in GIFT City.
