AHMEDABAD: The languishing Gujarat International Financial Tech-City (GIFT), which is being developed off Gandhinagar, is finally a special economic zone (SEZ). The Centre has given the much-awaited nod for the
SEZ status which was critical for the project touted to have the potential to take on not only the economic might of Mumbai but also Asian regional financial hubs like Dubai and Hong Kong. On August 18, there was some relief in Gandhinagar as the Gujarat government was officially informed about SEZ clearance. The go-ahead was given by Union ministries of finance and commerce.
This makes GIFT the country's first multi-service SEZ with special focus on financial services, riding on immense skills that Gujaratis possess in this area. Investors, who were shying away from GIFT so far, are happy over the SEZ status as international players will be able to set up base here without Reserve Bank of India restrictions on capital. Plus, domestic financial players will be able to operate out of here and offer financial services across the world. Only part of GIFT will be a SEZ, giving the option to investors to enjoy freedom from fiscal control or to be bound by Indian regulators.
Director for GIFT Ramakant Jha, the man behind many infrastructural projects in Mumbai, said by mid-September GIFT Company Ltd will roll out the red carpet for Indian and global developers for two commercial buildings in the SEZ area, besides one residential and commercial building each in the non-SEZ area. The four buildings will have over two million sq. ft. of office space.
While the project got slowed down by the global financial meltdown, it was only in March GIFT Company Ltd became the official owners of a large tract of land in Shahpur, off Gandhinagar. Chief minister Narendra Modi was keen on this land transfer as the government had barely managed six MoUs for investments in GIFT. He may also relax the state's dry laws for this zone. "Now, many investors will be willing to join us from the banking, insurance, and IT enabled services," says Jha. The six earlier MoUs are worth Rs 11,700 crore.
IL&FS will begin building towers with a total carpet area of 7.77 million square feet. The company shall pump in investments worth Rs 3,000 crore for this purpose.
Source : timesofindia.indiatimes.com