The Development Bank of Singapore (DBS), a Singaporean multinational banking and financial services corporation, has been given approval by the International Financial Services Centre Authority (IFSCA) to set up an international banking unit (IBU) at GIFT City. GIFT City officials believe more financial companies from Singapore will enter GIFT City after the arrival of SGX Nifty.
DBS will offer financial services like trade finance, external credit borrowing (ECB), treasury operations and derivatives at its GIFT City IBU. According to sources, the IBU will make DBS bank's offering on foreign currency loans and trade finance business competitive.
Dipesh Shah, Executive Director, IFSCA at GIFT City, said, "IFSC at GIFT City is fast emerging as the most preferred jurisdiction for international financial services. A large number of transactions for Indian corporates, which were earlier structured from centres outside India, are now navigating to IFSC. The objective of the government to onshore the offshore financial services is gaining momentum with large Indian and foreign banks seeing multifold jumps in their businesses at GIFT IFSC." In the past three years the GIFT IFSC has had 25 Indian banks and 10 foreign banks set up base here.
Follow: Ngulminthang Lhanghal
