3 weeks ago
Gujarat sets 39% for capital spending, highlights GIFT City growth
An important leader in a part of India called Gujarat talked to people at a big meeting about money.
The meeting was held in a special place called GIFT City, which is like a neighbourhood made just for banks and money companies.
The leader said that this year, a big part of the state's money plan, 39 out of every 100 rupees, will be spent on building things like roads, computer centres and new technology.
He wants the city to help India become a powerful country for money and banking.
Companies that do business there now get a very long holiday from paying taxes, 20 years instead of 10.
That means they can keep more of the money they earn for a longer time.
The city already has banks, insurance companies and even firms that rent out aeroplanes and ships.
The leader also talked about how artificial intelligence, or AI, is changing the way banks work.
He said the place used to be mostly farms and river valleys, but now it has world-class financial buildings.
Gujarat has allocated 39 per cent of its total budget to capital expenditure this year, Chief Minister Bhupendra Patel announced.
Patel spoke at the inaugural session of the Global Connect GIFT City Edition, jointly organised by HSBC and NDTV.
The capital expenditure allocation is aimed at infrastructure, advanced technology, semiconductors, data centres and artificial intelligence.
A continuous 20-year tax holiday for GIFT City businesses has been announced in the Union Budget, replacing the earlier 10-year period.
GIFT City is expanding into banking, insurance, asset management, capital market services, fund management, fintech, aircraft leasing and ship leasing.
- Who
- Gujarat Chief Minister Bhupendra Patel, speaking about Prime Minister Narendra Modi's vision for India's financial sector.
- What
- Announced Gujarat's 39 per cent budget allocation for capital expenditure and highlighted GIFT City's growth as an international financial hub.
- Where
- At Gujarat International Finance Tec-City (GIFT City), near Gandhinagar, Gujarat.
- When
- On Tuesday, at the inaugural session of the Global Connect GIFT City Edition.
- Why
- To boost infrastructure, advanced technology, semiconductors, data centres and AI, and to globalise India's financial sector.
Key facts
- Capital expenditure share
- 39 per cent of Gujarat's total budget this year
- Event
- Global Connect GIFT City Edition (inaugural session)
- Organisers
- HSBC and NDTV
- Tax holiday
- Continuous 20 years for GIFT City businesses (previously 10 years)
- Sectors at GIFT City
- Banking, insurance, asset management, capital market services, fund management, fintech, aircraft leasing, ship leasing
- Focus areas
- Infrastructure, advanced technology, semiconductors, data centres, artificial intelligence
- Connectivity projects
- Metro connectivity and Sabarmati Riverfront extension to GIFT City under way
Quotes
Chief Minister Bhupendra Patel
Chief Minister of Gujarat
“"The AI Centre of Excellence established at GIFT City has become a strong platform for bringing together new solutions, experts, businesses and start-ups."”
thehansindia.com
“"The location once consisted mainly of farms and the ravines of the Sabarmati river, whereas it now had world‑class financial institutions."”
thehansindia.com










