GIFT City emerging as global business hub but yet to match traditional financial centres: PwC Survey

Gandhinagar, September 29

However, according to a recent survey report by PwC, the city still has some distance to go before it can match the maturity of India's traditional financial hubs.

The report highlighted that GIFT City, officially known as Gujarat International Finance Tec-City, demonstrates significant long-term growth potential. The ongoing development of infrastructure, progressive policy reforms and regulatory easing are transforming it into an attractive destination for financial institutions and multinational enterprises.

It stated, "GIFT City has yet to attain the maturity of India's traditional financial hubs, but it demonstrates significant long-term growth potential".

Located in Gandhinagar district as a suburb of Ahmedabad, GIFT City is envisioned as a central business district that can rival leading financial centres globally.

The report observed that while the foundation is strong, unlocking its full potential would require focused efforts on multiple fronts.

One of the key recommendations was to advance ecosystem maturity.

The report stated that industries are reconfiguring and sector boundaries are blurring, as companies increasingly focus on new value pools emerging around human and business needs, such as mobility, housing, healthcare and food. Strengthening GIFT City's ecosystem would allow it to adapt quickly to these changes.

Another crucial factor is maintaining a competitive cost environment. With supportive policy measures and continued incentives, GIFT City is well-positioned to retain its cost advantage compared to other global financial hubs.

The PwC survey revealed that 68 per cent of senior executives identified tax-related incentives as the most impactful factor in motivating their companies to establish operations in GIFT City.

The report also stressed the importance of developing a world-class talent pool equipped with futuristic skills. While general skill-based roles can be readily filled by local talent, specialised positions continue to depend on external hiring and relocation from other cities.

Building a robust pipeline of specialised talent would be critical for the city's sustained growth.

Finally, the survey suggested that active international promotion of GIFT City is necessary. Leveraging its rising position in global rankings could help attract more international players and investors.

Achieving this would require a collaborative effort involving the government, private sector and international partners.

PwC concluded that while GIFT City has not yet attained the maturity of traditional financial hubs, it is clearly on the right track.

With consistent policy support, talent development, cost competitiveness and global outreach, the city holds the promise of becoming a leading hub for global business and investment.

— ANI