GIFT City is a remarkable central business district situated on the banks of the Sabarmati River in Gandhinagar, Gujarat. It is recognised as India’s first greenfield smart city and an international financial services centre, gaining global recognition and quickly emerging as a hub for financial services. The city secured an impressive 10th position in the Global Financial Centres Index in 2020, which speaks volumes about its achievements. GIFT City focuses on sustainable urban development and international business collaboration, redefining India’s financial landscape and setting new industry standards.
See also: GIFT City to be gateway for India’s vision to be developed by 2047: FM
GIFT City: Aim
GIFT City is a project that aims to support India’s Smart City mission, particularly in the finance and technology sectors. It was started in 2007 to bring modern infrastructure and attract global businesses. The project was awarded to ECADI, a company known for its modern planning of Shanghai. The city will be dynamic and encourage innovation while providing employment opportunities. GIFT City is expected to contribute to economic growth and align with India’s innovative and sustainable urban development vision.
GIFT City: Overview
GIFT City is a massive development encompassing commercial, financial and residential complexes. It covers an area of 886 acres and hosts 23 multinational banks, including industry giants such as HSBC, JP Morgan and Barclays. The city is a dynamic focal point, with two international stock exchanges trading $30.6 billion daily. It is well-connected with 4-6 lane highways and will soon have a metro station linking it to the Ahmedabad Metro network by March 2024. The city has a 106-hectare special economic zone (SEZ) that highlights its commitment to innovation. It accommodates both SEZ and non-SEZ areas.
GIFT City has attracted the attention of global financial institutions and foreign educational institutions, with Australian universities opening new campuses in the city. This demonstrates that the city is becoming increasingly important for international education in India. GIFT City’s strategic location, global partnerships, and innovative urban planning propel it to redefine India’s role in the international financial arena.
GIFT City: Utilities
- GIFT City plans to implement a robust electrical supply system with a proposed 400 MV power line to ensure reliable and efficient power distribution.
- The city will feature modern telecommunication systems based on the FTTX (Fiber to home/office) concept, ensuring seamless and high-quality communication services.
- Piped gas distribution to every house and building is affordable and safer than traditional cylinders, leveraging the existing gas network of the state-owned company for transmission pipelines.
- Solid waste management systems adopt an innovative approach with vacuum chutes installed on every floor of all buildings, transporting waste through underground chutes at high speed for processing through advanced methods, including plasma gasification.
- GIFT City envisions a diverse and efficient transportation network, including metro, light rail, Bus Rapid Transportation System, and electric personal rapid transit systems, providing convenient and eco-friendly intra-city commuting.
GIFT City: Zones
Domestic Tariff Area (DTA)
Indian companies follow Indian laws, serve the local market, and get tax benefits from the Indian government.
Special Economic Zone (SEZ)
International companies focus on exports and foreign investments. It offers benefits like tax exemptions, duty-free imports and exports, and simpler regulations. SEZ is split into SEZ PA and SEZ NPA.
- SEZ PA: It is the core area with top-notch infrastructure for financial institutions, banks, and businesses. It includes offices, homes, a convention centre, and recreation space. Aimed at businesses needing special infrastructure and SEZ Act benefits.
- SEZ NPA: Surrounds SEZ PA, supporting services for businesses in SEZ PA. Has residential areas, hotels, hospitals, schools, and other support facilities.
Gift City: Different parts
- International Financial Services Centre (IFSC): Focuses on financial services and is India’s first IFSC. Provides an excellent business environment for the financial industry.
- Domestic Finance Centre (DFC): Meets the needs of the domestic financial services industry. Supports the growth of Indian financial services companies.
- Multi-services SEZ: A Special Economic Zone (SEZ) where companies can set up in various sectors like IT, engineering, biotech, and pharmaceuticals.
- Social and civic infrastructure: Offers top-notch facilities like schools, hospitals, and shopping centres for GIFT City residents.
- Residential zone: Provides homes for people working in GIFT City. Aims to offer a high-quality living environment.
- Transit-Oriented Development (TOD): Promotes sustainable transportation and connectivity. Includes roads, walkways, and cycle tracks for easy movement in GIFT City.
GIFT City: Management
GIFT Company Limited created a special team called GIFT SEZ Ltd. to develop the SEZ within GIFT City. GIFT Company Limited also made five other teams for different jobs in GIFT City. These teams are Gift Power Company Limited, Gift Waste Management Services Limited, Gift Water Infrastructure Limited, Gift ICT Services Limited, and Gift Collective Investment Management Company Limited.
GIFT City: Construction timeline
In 2007, the Indian government announced the GIFT City project – a significant undertaking. Over the next few years, there were several important milestones. In 2008, they acquired the land and got formal approval from the Union Cabinet. In 2009-2010, the GIFT SEZ area was officially notified, and construction began on the project’s first phase, including the GIFT One tower.
The first phase was completed in 2012-2013, and then PM Manmohan Singh inaugurated it. During this time, the government approved the GIFT SEZ and started working on the second phase. The second phase was completed in 2014-2015, which included the GIFT Two tower, and the project was selected as a smart city.
In 2016-2017, they started work on the third phase and got approval for the GIFT SEZ. The fourth phase began in 2017, and by 2019, they completed the third phase, which saw the inauguration of the GIFT Three tower.
Between 2021-2023, the fourth and final phase of the project began with added amenities. In recognition of the achievements, GIFT City was awarded “Smart City of the Year.” In 2023, Google announced a fintech operation centre and the SGX Nifty was renamed GIFT Nifty, with trading operations starting in the city.
FAQs
What is GIFT City?
GIFT City is India's first greenfield smart city and international financial services centre. Located in Gandhinagar, Gujarat, it serves as the central business district and aims to support India's Smart City initiative, particularly in the technology and finance sectors.
What are the key features of GIFT City?
GIFT City is a modern city with some key features. It has a special economic zone (SEZ) and is connected to well-developed highways. It also has two international stock exchanges, and is committed to sustainable urban development. GIFT City is home to 23 multinational banks, including industry leaders such as HSBC, JP Morgan, and Barclays.
How is GIFT City connected to other cities?
GIFT City has good connectivity with 4-6 lane highways and will soon have a metro station which will link it to the Ahmedabad Metro network by March 2024. This will make it easy to travel to other parts of the state and the country.
What are the utilities provided in GIFT City?
GIFT City plans to implement a robust electrical supply system, modern telecommunication systems, piped gas distribution, solid waste management systems, and a diverse and efficient transportation network.
What is the Global Financial Centres Index, and how has GIFT City performed?
The Global Financial Centres Index is a ranking of the competitiveness of financial centres globally. In 2020, GIFT City secured an impressive 10th position, which speaks volumes about its achievements and emerging importance as a hub for financial services.
How is GIFT City contributing to sustainable urban development?
GIFT City focuses on sustainable urban development by implementing eco-friendly and energy-efficient measures such as vacuum chutes for solid waste management, promoting public transportation and electric personal rapid transit systems, and providing piped gas distribution.
How has GIFT City attracted global financial institutions and foreign educational institutions?
GIFT City's strategic location, global partnerships, and innovative urban planning have attracted global financial and foreign educational institutions. For example, Australian universities have opened new campuses in the city, demonstrating its increasing importance for international education in India.
(Featured image source: www.giftgujarat.in)
| Got any questions or point of view on our article? We would love to hear from you. Write to our Editor-in-Chief Jhumur Ghosh at [email protected] |
Khushi Jha, a graduate in history and political science from the University of Delhi, doesn’t restrict herself to a single domain. Her passion for writing has led her to explore a wide spectrum of topics, ranging from fashion, health and lifestyle to technology, real estate and finance. She has written for platforms like TheVoiceOfWoman, Techsunk, Fitmist and Menskool, among others. When free, she enjoys reading books, including fiction, history and geopolitics.
Related Posts
Sobha forays into Gujarat with Rs 500-crore investment in GIFT City.
Cities should raise funds from local markets: Venkaiah Naidu.
Ahmedabad Metro: PM Modi inaugurates Phase I stretch from Vastral to Apparel Park.
Gujarat CM stresses on reducing dependency on Narmada water.
Top companies of Gujarat.
Top automotive industries in Gujarat.
