India's western state of Gujarat has appointed veteran banker Uday Kotak as the chairman of GIFT City, replacing former bureaucrat Hasmukh Adhia, according to a notice by the state government.
Gujarat International Finance Tec-City, or GIFT City, offers easier tax rules and regulations as it seeks to attract global capital to compete with financial centres such as Singapore and Dubai.
Earlier this month, India's federal government doubled the tax holiday for businesses establishing operations in GIFT City to 20 years.
Uday Kotak is the largest shareholder in India's Kotak Mahindra Bank and his financial empire includes an alternative investment business, asset management and insurance, among others.
What is the GIFT City?
GIFT City, located in Gujarat, is India's first operational smart city and home to the country's first and only International Financial Services Centre (IFSC). It functions as a global hub for financial and technology firms, creating a business-friendly environment for both Indian and international companies. The city offers a mix of onshore and offshore financial services, designed to enable cross-border transactions and products within a competitive tax structure. With simplified regulations and tax incentives, GIFT City aims to draw global capital and strengthen its position alongside established financial centres like Singapore and Dubai.
About Uday Kotak
Uday Kotak is the founder and director of Kotak Mahindra Bank and has played a pivotal role in shaping the institution’s growth over the past 38 years. He earlier served as the managing director and CEO of the bank until 1 September 2023. From 2 September 2023, he took on the role of non-executive, non-independent director.
Under his leadership, the Kotak Mahindra Group has evolved into one of India’s leading diversified and integrated financial services conglomerates. His broader financial interests span alternative investments, asset management, insurance and other related businesses.
