GIFT City is strategically repositioning itself to focus on Global Capability Centres (GCCs) and centres of excellence, marking a major shift from its traditional banking and financial services operations. Managing Director and Group CEO Sanjay Kaul outlined this expansion plan at the World Economic Forum in Davos, highlighting GIFT City’s transition from exploratory initiatives to concrete business commitments.
Strategic Shift Towards GCCs
Over the past six to eight months, GIFT City has seen growing interest from companies seeking cost-effective locations for global support functions, particularly those with existing manufacturing operations in India. GCCs are now a priority growth driver, complementing Gujarat’s robust industrial ecosystem and creating synergies between manufacturing and back-office capabilities.
Current Status and Growth Targets
- Banks operating: 37 entities from Middle East and Asia-Pacific
- Asset management entities: 194 registered or operational
- Current workforce: 27,000
- Target workforce by 2030: 100,000
- Aircraft leased: Over 400 through GIFT City entities
The planned workforce expansion represents nearly a four-fold increase, driven primarily by GCCs, GICs, and centres of excellence.
International Interest and Bilateral Agreements
GIFT City’s strategic push has attracted global attention, with companies such as DP World and Abu Dhabi Bank exploring a presence in the city. CEO Kaul highlighted that bilateral trade agreements, including the ongoing India-EU free trade negotiations, reduce investment uncertainty and accelerate foreign investment decisions.
Asset Management and Aviation Finance Momentum
While GCCs are the newest growth focus, traditional financial services continue to expand robustly:
- Asset management remains strong with 194 entities operational or registered.
- Aviation finance is a notable success, with over 400 aircraft leased through GIFT City entities.
These sectors demonstrate GIFT City’s capability to serve specialized financial and operational functions beyond conventional banking.
Operational Advantages Driving GCC Adoption
GIFT City offers significant operational cost advantages, superior regulatory frameworks, and high-quality infrastructure, making it an attractive choice for companies establishing GCCs. These factors, combined with talent development initiatives, strengthen the city’s competitive edge for global business operations.
Infrastructure and Talent Development Initiatives
To meet ambitious growth targets, GIFT City is investing in:
- Enhancing social infrastructure
- Expanding and upgrading the talent pool to meet GCC and innovation hub requirements
These measures will support the projected workforce growth to 100,000 employees by 2030, positioning GIFT City as a major hub for global business operations in India.
Conclusion
GIFT City’s shift towards Global Capability Centres and centres of excellence represents a transformative phase in its development. With international interest, cost-effective operations, and strategic talent initiatives, the city is set to become a key destination for GCCs, driving India’s position as a global hub for corporate support and innovation.
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