Direct Listings to Revolutionize Equity Access at GIFT City
India's Gujarat International Finance Tec-City (GIFT City) is poised to significantly transform its equity market with the introduction of a new direct listing framework. Pradeep Ramakrishnan, Executive Director at the International Financial Services Centres Authority (IFSCA), confirmed that companies will soon be able to list their shares at GIFT City without undergoing a traditional Initial Public Offering (IPO) process. This strategic move is designed to invigorate the nascent equity segment of India's premier international financial services center.
Under the proposed framework, which has already undergone market consultation and is expected to be introduced in the coming months, companies will be automatically onboarded as listed entities, making their shares immediately available for trading. This streamlined approach bypasses the complexities and time commitment often associated with conventional IPOs, offering a faster route to public markets for businesses.
Building on Bond Market Success
While GIFT IFSC has achieved considerable success in its bond market, attracting nearly $85 billion in listings, including approximately $18 billion through green, social, and other sustainable bonds, its equity market has remained relatively undeveloped. The IFSCA's initiative aims to replicate the bond market's growth in the equity sector, establishing a comprehensive financial ecosystem.
GIFT City's role in India's financial landscape extends beyond domestic operations. It has become a crucial conduit for Indian companies seeking to raise funds overseas, facilitating almost 75% of India’s external commercial borrowings (ECBs).
Expanding India's Global Financial Gateway
The introduction of direct equity listings is part of a broader expansion strategy for GIFT City across various financial services. The center is rapidly growing in areas such as fund management, global investing, commodities, and specialized leasing for aircraft and ships. As of June 2026, GIFT IFSC boasted around 1,400 registered entities operating across 25-30 business lines, including 235 fund management entities overseeing more than 400 funds.
Empowering Retail Investors Globally
GIFT City is also enhancing opportunities for retail investors. Nearly 3 million Indians have enrolled in the revamped global access program, which enables them to purchase shares, bonds, and exchange-traded funds across approximately 50 countries through GIFT City-based brokers. This program operates within the Reserve Bank of India's Liberalised Remittance Scheme, allowing individuals to remit up to $250,000 annually.
Furthermore, Indian mutual fund houses leverage their GIFT City operations to access global markets. Unlike the industry-wide $7 billion cap on overseas investments for domestic fund houses, their GIFT City arms are exempt from this limit, offering Indian investors access to international markets with ticket sizes starting from $500.
Towards a Greater Role in Commodity Pricing
Beyond equities and bonds, IFSCA is keen to deepen GIFT City's involvement in the commodities market. The regulator seeks to empower the center to play a more significant role in gold pricing, moving beyond simply following international benchmarks. To date, approximately 110 tonnes of gold and 1,200 tonnes of silver have been imported through GIFT IFSC, with efforts underway to transition more over-the-counter transactions to regulated exchanges.
The Road Ahead for GIFT IFSC
The direct listing proposal represents a pivotal step in IFSCA's comprehensive strategy to enhance and diversify GIFT City's financial ecosystem. The success of this initiative will be measured by its ability to attract a greater number of issuers to its equity market, transforming GIFT IFSC's established strength in international finance into a robust and dynamic equity hub.