Economics
Context: The Union Budget has proposed several measures to enhance business activities at Gujarat International Finance Tec-City – International Financial Services Centre (GIFT IFSC).
- A subsidiary of EXIM Bank for trade re-financing would be established at GIFT IFSC and IFSCA Act would be amended for statutory provisions for arbitration, ancillary services, and avoiding dual regulation under SEZ Act.
About International Financial Services Centre Authority:
- IFSCA is a statutory body established in 2020 under the International Financial Services Centres Authority Act, 2019 to ensure inter-regulatory coordination within the financial sector.
- Headquarters: At GIFT City, Gandhinagar in Gujarat.
- Prior to the establishment of IFSCA, the domestic financial regulators, namely, RBI, SEBI, PFRDA and IRDAI regulated the business in IFSC.
- The IFSCA is a unified authority for the development and regulation of financial products, financial services and financial institutions in the International Financial Services Centre (IFSC) in India.
- The main objective of the IFSCA is to develop a strong global connect and focus on the needs of the Indian economy as well as to serve as an international financial platform for the entire region and the global economy as a whole.
Source: The Hindu
Previous Year Questions
Q.1) ‘Rapid Financing Instrument” and “Rapid Credit Facility” are related to the provisions of lending by which of the following: (2022)
- Asian Development Bank
- International Monetary Fund
- United Nations Environment Programme Finance Initiative
- World Bank
Q.2) In India, the Central Bank’s function as the “lender of last resort” usually refers to which of the following? (2021)
- Lending to trade and industry bodies when they fail to borrow from other sources
- Providing liquidity to the banks having a temporary crisis
- Lending to governments to finance budgetary deficits
Select the correct answer using the code given below
- 1 and 2
- 2 only
- 2 and 3
- 3 only
