Gujarat International Finance Tech-City (GIFT City), Details, Overview and Aim

Gujarat International Finance Tec-City (GIFT City) is a 15.5 square kilometer business district under construction in Gandhinagar, Gujarat, India. It is India’s first operational greenfield smart city and international financial services center (IFSC).

GIFT City represents an ambitious project aimed at positioning Gujarat as a major financial and business destination on the global stage. It continues to evolve as more businesses establish their presence in the city, contributing to its growth and development.

What is GIFT City?

The Gujarat International Finance Tec-City (GIFT City) is a 15.5 square kilometer business district currently under construction in the Gandhinagar district of Gujarat, India. Distinguished as India’s inaugural operational greenfield smart city and international financial services center, GIFT City is envisioned as a global hub for finance and technology. Boasting single-window clearances and approvals, it offers businesses a plug-and-play infrastructure to facilitate rapid growth.

Situated on the banks of the Sabarmati River, GIFT City spans 886 acres and encompasses a comprehensive development plan. With 62 million square feet of built-up area, the city includes a mix of office spaces, residential quarters, schools, hospitals, hotels, clubs, retail establishments, and various recreational facilities. Positioned as the central pillar of a tri-city strategy, GIFT City strategically sits between Ahmedabad and Gandhinagar, ensuring convenient access to both cities within a 30-minute radius. This integrated approach aims to create a thriving environment for businesses and residents alike.

Power Finance Corporation (PFC) Subsidiary in GIFT City

Power Finance Corporation (PFC) has gained approval from the Reserve Bank of India (RBI) to establish a wholly-owned finance subsidiary in Gujarat’s GIFT City’s International Financial Services Centre (IFSC). This move is poised to expand PFC’s global reach and business prospects, providing new opportunities and contributing to the growth of the country’s power sector, as stated by PFC Chairman and Managing Director Parminder Chopra. The GIFT City platform offers an advantageous environment for international lending activities, and PFC aims to leverage these benefits to establish itself in the global market, according to regulatory filings. PFC’s entry into the IFSC is anticipated to unlock new business avenues and enhance its global presence.

Gujarat International Finance Tech-City (GIFT City) Overview

Gujarat International Finance Tech-City (GIFT City) encompasses 359 hectares (886 acres) with plans for approximately 110 buildings, totaling 62,000,000 sq ft of built-up area. The city’s composition includes 67% for commercial use, 22% for residential purposes, and 11% allocated for social facilities. Presently, 2,000,000 sq ft of commercial space is operational, while an additional 3,000,000 sq ft is currently under development.

The city is designed with robust utility provisions, including:

• Electricity: A proposed 400 MV electrical supply line aims to minimize power outages. The cables will be laid in a utility tunnel with thick concrete walls, ensuring redundancy in their paths.
• Telecommunication Services: GIFT City will feature state-of-the-art telecommunications systems based on FTTX (Fiber to home/office) concepts. The fault-tolerant architecture of communication lines is designed to maximize service uptime.
• Piped Gas: Natural gas is distributed to every building and house through pipelines, a cost-effective and secure alternative to cylinders. The city receives its gas supply from the existing network of the state-owned company for gas transmission pipelines. Piped natural gas is already in distribution in nearby cities like Ahmedabad and Gandhinagar.
• Solid Waste Management: GIFT City adopts an advanced solid waste management system. Waste is collected through vacuum chutes installed on every floor of buildings and transported to a processing plant. The waste travels through underground chutes at a high speed of 90 km/h and undergoes treatment through various methods, including plasma gasification.

In terms of transportation, GIFT City is set to feature:

• Metro, Light Rail, and Bus Rapid Transportation System (BRTS): These modes of public transportation will contribute to efficient and sustainable mobility within the city.
• Electric Personal Rapid Transit Systems: The use of electric personal rapid transit systems within the city will enhance local transport options, promoting convenience and environmental sustainability.

Aims of GIFT City

• Smart City Mission Boost: GIFT City aims to significantly contribute to India’s Smart City missions, serving as a pivotal player in the expanding finance and technology sectors.
• Inception: The concept of GIFT City originated in 2007 with a vision to create a cutting-edge urban center that integrates advanced technology and financial services.
• Planning Expertise: The planning of GIFT City was entrusted to the East China Architectural Design & Research Institute (ECADI), a renowned entity credited with shaping much of modern-day Shanghai.
• Strategic Sectors: GIFT City focuses on fostering growth in the finance and technology sectors, aligning with India’s broader goals of economic development and technological advancement.
• Global Standards: Drawing inspiration from international models, GIFT City aspires to meet global standards for infrastructure, sustainability, and business-friendly environments.
• Integrated Urban Center: The project envisions an integrated urban center with a comprehensive mix of commercial, residential, and social facilities, contributing to a vibrant and sustainable living and working environment.
• International Financial Services Hub: GIFT City positions itself as India’s first operational greenfield smart city and international financial services center, attracting businesses and investments on a global scale.
• Tri-City Approach: Strategically located between Ahmedabad and Gandhinagar, GIFT City adopts a tri-city approach, aiming to enhance regional connectivity and economic collaboration.
• Efficient Utilities: The city prioritizes efficient utilities, including a reliable electrical supply, advanced telecommunication systems, piped natural gas distribution, and innovative solid waste management practices.
• Transportation Solutions: GIFT City integrates diverse transportation solutions, such as metro, light rail, bus rapid transportation systems, and electric personal rapid transit systems, ensuring seamless mobility within the city.

International Financial Services Centre (IFSC)

An International Financial Services Centre (IFSC) is a designated jurisdiction that facilitates the provision of financial services to both residents and non-residents. IFSCs play a crucial role in managing the cross-border flow of finance, financial products, and services.

These centers empower Indian corporate entities and the overseas branches/subsidiaries of financial institutions to repatriate financial services and transactions that are presently conducted in offshore financial centers. The primary function of IFSCs is to offer top-tier financial services to both residents and non-residents, conducted in a currency other than the domestic currency of the location where the IFSC is situated. This strategic positioning allows for the efficient handling of international financial activities and enhances the global competitiveness of the financial services offered.

Gujarat International Finance Tech-City (GIFT City) UPSC

Gujarat International Finance Tec-City (GIFT City) is a pioneering 15.5 sq km business district in Gandhinagar, Gujarat, designed to be India’s first greenfield smart city and international financial services center. With a comprehensive plan spanning 886 acres, it integrates 67% commercial, 22% residential, and 11% social facilities. Boasting a robust utility infrastructure, GIFT City features a proposed 400 MV electrical supply, advanced telecommunications based on FTTX, piped natural gas distribution, and innovative solid waste management. The city prioritizes efficient transportation, including metro and electric personal rapid transit. GIFT City aims to contribute significantly to India’s Smart City missions and global financial competitiveness.

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