GIFT city full form is Gujarat International Finance Tec-City. It refers to the first operational greenfield smart city and International Financial Services Centre (IFSC) in India. It is strategically located between Gandhinagar and Ahmedabad. In this blog post, we shall discuss GIFT city in a detailed manner, including its zones and key features.

What is GIFT City Full Form?

GIFT City full form is Gujarat International Finance Tec-City. It is a planned business district, greenfield smart city, and India’s first operational International Financial Services Centre (IFSC). It is located between Ahmedabad and Gandhinagar near the Sabarmati River. GIFT City is around 12 km (7.5 miles) from Sardar Vallabhbhai Patel International Airport. It was designed to compete with global financial hubs like Singapore and London. The city has modern infrastructure and a “walk-to-work” concept.

The Government of Gujarat announced the GIFT City project in 2007. The project was proposed by Narendra Modi. He was the Chief Minister of Gujarat at that time. The aim was to create a world-class financial and business district between Ahmedabad and Gandhinagar. In 2015, the GIFT City project was established and inaugurated. Many domestic and international businesses have offices in GIFT city.

Zones of GIFT City

GIFT City is divided into two zones, i.e., Domestic Tariff Area (DTA) and the Multi-Service Special Economic Zone (SEZ). We have explained these zones below:

  • Domestic Tariff Area (DTA): The DTA of GIFT City is meant for domestic companies. It adheres to Indian laws and regulations. Companies that operate within this zone can serve the domestic market. They can leverage the tax incentives that the Government of India offers. GIFT 1- Sabarmati Capital 1, GIFT 1- Sabarmati Capital 2, BSE Broker’s Forum commercial tower, Fintech One (Prestige), Nakshatra Infracon, Befree Corporate Office, etc. are located here.
  • Multi-Service Special Economic Zone: As opposed to DTA, the Special Economic Zone (SEZ) is made for international companies. It is meant to increase exports and foreign investment. Companies in this zone get many benefits like tax exemptions, duty free imports and exports and follow easy rules and procedures. The SEZ is divided into two parts, i.e., SEZ PA (Processing Area) and SEZ NPA (Non-Processing Area). It includes ATS Savvy Pragya, ATS Savvy Developers LLP, Junomoneta International (IFSC) Pvt. Ltd., Brigade Group (BIFC) and Hiranandani Signature are located at SEZ.

Key Features of GIFT City

The key features of GIFT City Gujarat are as follows:

  • It is the only working International Financial Services Centre (IFSC) in India as of now.
  • It has modern and world-class infrastructure, attracting domestic and international companies.
  • Many Indian and international banks, insurance companies and investment companies are located at GIFT City.
  • The centre gives tax benefits and other incentives to attract Indian and foreign companies.
  • Some companies can also avail tax holidays and GST-free services in the IFSC SEZ area.
  • In December 2023, the Gujarat Government allowed controlled liquor service inside GIFT City. It is important to note that liquor can only be served in hotels, restaurants and clubs to employees and approved visitors. Selling liquor bottles is not allowed.
  • The International Bullion Exchange (IIBX) in GIFT City allows trading of gold and other precious metals.
  • Electric cables, water pipes and gas pipelines are placed underground. Therefore, the roads do not need to be dug for repairs.
  • It uses an energy-saving and eco-friendly cooling system that reduces air conditioning energy use by nearly 30-40%.
  • All residential and commercial projects in GIFT City and Gandhinagar must be registered under RERA before they can be sold.
  • For businesses establishing a presence in the GIFT City International Financial Services Centre, 100% foreign ownership is allowed. 

Conclusion

The full form of GIFT city is Gujarat International Finance Tec-City. It was developed to promote business, financial services and foreign investment in India. It was established and inaugurated in 2015 as the first and only International Financial Services Centre (IFSC) in the country. It is located strategically between Ahmedabad and Gandhinagar in Gujarat and offers state-of-the-art infrastructure with high-tech facilities, green buildings and smart city features. Many domestic and international companies, banks, insurance firms and financial institutions have offices in the GIFT City of Gujarat.

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Frequently Asked Questions (FAQs)

Q1. What is GIFT city full form in real estate?

A. GIFT city full form in real estate is Gujarat International Finance Tec-City.

Q2. Where is GIFT city located?

It is located in Gujarat. It is located near the banks of the Sabarmati river and sits exactly between Ahmedabad and Gandhinagar. 

Q3. When was GIFT city established and inaugurated?

It was established and inaugurated in 2015.

Q4. Which is India’s first International Financial Services Centre (IFSC)?

GIFT City is India’s first and only International Financial Services Centre (IFSC). It is located in Gujarat. 

Q5. When was GIFT city project proposed?

The GIFT City project was proposed in 2007 by the Government of Gujarat. Back then, Shri. Narendra Modi was the CM of the state. 

Q6. How many zones does Gujarat International Finance Tec-City have?

The Gujarat International Finance Tec-City has two zones, i.e., Domestic Tariff Area (DTA), which is meant for domestic companies, and Multi-Service Special Economic Zone (SEZ), which is meant for international companies. 

Q7. What are the benefits enjoyed by businesses operating in Gujarat International Finance Tec-City?

Businesses operating in Gujarat enjoy a wide range of benefits like state-of-the-art infrastructure, tax exemptions on profits, reduced regulatory restrictions and foreign exchange benefits.