FM Nirmala Sitharaman Announces Imminent Direct Listing of Indian firms on Gift City Stock Exchange Soon

Finance Minister Nirmala Sitharaman announced at the 10th Vibrant Gujarat Global Summit that the long-awaited direct listing of stocks at the International Financial Services Centre (IFSC) in GIFT City is on the horizon.


This move aims to facilitate Indian companies’ access to global funds and is part of the broader vision for India to become a developed nation by 2047.


Sitharaman expressed confidence in the systematic process, stating, “We are going through the process in a very systematic manner, and I’m confident it will happen as soon as possible.”


Speaking at the seminar titled ‘GIFT City- An Aspiration of Modern India,’ she underscored the pivotal role the IFSC should play as the gateway to the world in realizing India’s development aspirations.


Highlighting the potential of IFSC, Sitharaman emphasized its role in becoming the platform for the trade of carbon credits. 


Recognizing the need for a comprehensive approach to carbon and green-related issues, she noted that India faces a funding gap of $10.1 trillion to meet its net zero commitment by 2070. 


Sitharaman urged a greater understanding of handling these challenges.


Presently, the IFSC exchange lists securities valued at $52.7 billion, encompassing green, social, sustainable, and sustainability-linked bonds.


The Finance Minister indicated the potential expansion into new areas such as blended finance, de-risking mechanisms, and longevity finance, which could create opportunities in wealth management, insurance, pension, and medical tourism.


The growing ecosystem in GIFT City includes three exchanges, including the International Bullion Exchange, 25 banks (including nine foreign banks), 26 aircraft lessors, 80 fund managers, 50 professional service providers, and 40 fintech entities.


Sitharaman commended GIFT City for its unique positioning, integrating financial services with technology, enabling cross-border facilitation and tokenization.


She emphasized that this fusion provides a distinct advantage, mainly as India is one of the fastest-growing global economies.


Sitharaman acknowledged that GIFT City stands out among global financial hubs by not merely focusing on capital but by infusing financial services with cutting-edge technology.


In addition to discussing GIFT City stock exchange’s advancements, Sitharaman also highlighted the distinctive feature of retail participation in stock markets in India as part of the government’s financial sector reforms.


This emphasis on retail participation underscores the government’s commitment to fostering inclusivity and broadening access to financial markets.


In conclusion, Sitharaman’s announcements at the Vibrant Gujarat Global Summit reflect the government’s strategic initiatives to position GIFT City stock exchange as a global financial hub, aligning with India’s broader economic and development goals.


The upcoming direct listing of stocks and the focus on carbon credits underscore the commitment to leveraging financial innovation to address contemporary challenges and opportunities.