Key Requirements for Setting up a Successful International Financial Services Centre (IFSC) in India

New Age Ecosystem for Empowering Trade, Industry and Society, Eds., Pawan K. Chugan, Deepak Srivastava, Nikunj Patel and Nirmal C. Soni, Excel India Publishers, New Delhi, for Institute of Management, Nirma University, Ahmedabad India. Jan. 2016, ISBN: 978-93-85777-08-0, pp. 397-406

19th Nirma International Conference on Management (NICOM 2016) on the theme of “Empowering Trade, Industry and Society in Challenging and Competitive Environment” organized by the Institute of Management, Nirma University (IMNU), Ahmedabad, India during Jan. 7-9, 2016

10 Pages Posted: 13 Apr 2016

See all articles by Dipesh Shah

Dipesh Shah

Nirma University

Pawan K. Chugan

Nirma University - Institute of Management

Date Written: January 1, 2016

Abstract

The History of World’s most significant International Financial Services Centre (IFSC) is more than 200 years old. Various countries at various points in time of their Economic Development took initiative to develop International Financial Centre to provide International Financial Services. Over a period of time, some of the important centres like New York, London, Frankfurt, Tokyo, Hong Kong and Singapore become leading centres for International Financial Services (IFS). These centres contributed to the growth of overall economy of the countries in which they operate and create a large number of jobs in those centres. There are around 196 countries in the world; out of which about 80 countries have developed centres to cater to the demand of International Financial Services. India is one of the largest countries in the world and large user of the IFS, however only recently in April 2015, India announced development of IFSC. India opened its economy in 1991; however capital account convertibility has still not been achieved and thereby its contribution in the Global Financial Market is considered as negligible. With the global market being actively connected through technology, it is inevitable for India to step into the map of global Financial Centre and mark its presence by setting up a successful IFSC in India. In the absence of IFSC in India, it is estimated that India is losing US $50 billion per year (2015), which will grow to US $120 billion by 2025. Development of IFSC in India would be a major game changer for the country. The understanding of key requirements for setting up a successful IFSC in India would help in setting up a vibrant IFSC in India.

Keywords: International Financial Services Centre, International Financial Services, Global Financial

JEL Classification: G1, G14, G15, G2, E43

Suggested Citation

Shah, Dipesh and Chugan, Pawan Kumar, Key Requirements for Setting up a Successful International Financial Services Centre (IFSC) in India (January 1, 2016). New Age Ecosystem for Empowering Trade, Industry and Society, Eds., Pawan K. Chugan, Deepak Srivastava, Nikunj Patel and Nirmal C. Soni, Excel India Publishers, New Delhi, for Institute of Management, Nirma University, Ahmedabad India. Jan. 2016, ISBN: 978-93-85777-08-0, pp. 397-406. Available at SSRN: https://ssrn.com/abstract=2761099

Dipesh Shah

Nirma University ( email )

Sarkhej-Gandhinagar Highway
Chandlodia, Via : Gota
Ahmedabad, GA Gujarat 382 481
India

Pawan Kumar Chugan (Contact Author)

Nirma University - Institute of Management ( email )

Sarkhej Gandhinagar Highway
Ahmedabad, Gujarat 382481
India
+912717241900 (Phone)
+912717241916 (Fax)

Register to save articles to
your library

Register

Paper statistics

Downloads
289
Abstract Views
1,233
rank
105,779
PlumX Metrics