Speaking at a panel discussion in Gandhinagar, Chauhan underscored the potential of GIFT IFSC as a global financial hub, capable of attracting international investments and reshaping India’s financial landscape.
“Today, GIFT City conceptually represents the role that Hong Kong played for China in the last 40 years,” Chauhan emphasised, positioning the centre as India’s gateway to the world and vice versa.
The NSE MD & CEO outlined a target of listing 40-50 companies in the coming years and four to five in the next year, at a time when major financial hubs like London and Singapore are struggling with delistings due to rising regulatory complexities and costs.
Chauhan introduced the concept of “World for World,” where GIFT IFSC would transcend traditional geographical and regulatory limitations to become a seamless global financial platform. He highlighted multi-currency transaction capabilities, with trading possible in Rupees, Dollars, and even Rubles, alongside zero capital gains tax and minimal regulatory interference—a combination designed to attract global players.
Financial powerhouse in the making
The NSE International Exchange at GIFT City is already demonstrating strong performance, positioning itself as a key player in the global financial markets. Currently, monthly futures transactions exceed $100 billion, highlighting the growing interest and participation from international investors. Additionally, the exchange has listed bonds worth $85 billion.
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In September 2024, GIFT Nifty recorded its highest-ever monthly turnover of 19.75 lakh contracts, valued at ₹8.43 lakh crore ($100.7 billion). Additionally, on September 24, 2024, it set an all-time high open interest of 3.99 lakh contracts, worth ₹1.74 lakh crore ($20.84 billion), Chauhan highlighted.
A significant shift in trading patterns is also emerging, with 40-50% of trading volumes now originating outside Singapore. Moreover, with advanced infrastructure and cutting-edge technology, the exchange has the potential to process 20 times more orders than the New York Stock Exchange (NYSE).
India as a price setter in global commodities
GIFT IFSC is also aiming to reshape global commodity markets. NSE plans to launch futures and options in gold, a move that could help position India as a key price setter in commodities, reducing reliance on international benchmarks.
Strategically located near top-tier educational institutions like IIT Gandhinagar and PDPU, GIFT City benefits from a talent-rich ecosystem, significantly lower legal and operational costs, and a 22-hour global trading window—all crucial factors in its long-term success.
Chauhan’s sees GIFT IFSC as a magnet for international listings, particularly in AI and tech sectors, by offering an attractive, low-cost alternative to traditional markets.
