Regulations
The International Financial Services Centres Authority (IFSCA) has introduced the TechFin and Ancillary Services Regulations, 2025, a landmark framework that strengthens India’s GIFT City IFSC as a centre for financial technology innovation.
A key feature of these regulations is the TechFin Service Catalogue — a detailed list of 24 permitted technology-driven financial services designed to support, enhance, and digitise the functioning of the financial ecosystem within GIFT City Gandhinagar.
The catalogue offers clarity and structure for entities planning to start or expand their TechFin business in GIFT City, ensuring that all services remain compliant with IFSCA’s regulatory vision while fostering innovation, competition, and global integration.
For professionals exploring the full regulation text, see our detailed guide on IFSCA TechFin and Ancillary Services Regulations 2025.
Innovation-Centric Services
- Accelerators, AgriTech, ClimateTech, and SpaceTech
These categories nurture the growth of early-stage innovators within GIFT City. An accelerator, for instance, may support startups building fintech solutions tailored for IFSC-based banks or fund managers.
Similarly, Climate and GreenTech entities can develop tools that align with ESG reporting standards — helping financial institutions meet sustainability goals while maintaining compliance.
Businesses can learn more about how to set up operations in GIFT City
to join this regulated innovation ecosystem.
2. Artificial Intelligence (AI) and Machine Learning (ML)
AI and ML technologies underpin the modern financial industry.
A machine learning credit risk platform based in the IFSC, for example, can help an IBU assess borrowers by analysing alternative data sets such as trading patterns or real-time transaction histories.
This enhances compliance accuracy, speeds up decision-making, and reduces manual errors — aligning directly with the IFSCA’s RegTech vision.
3. Big Data Analytics
Big Data Analytics empowers fund managers and wealth advisors within GIFT City to make smarter decisions.
A firm providing analytics to fund management entities (FMEs) can help model risk, assess fund performance, and build predictive insights that enhance investor returns — particularly appealing to foreign portfolio investors and sovereign wealth funds.
Technology-Driven Infrastructure
4. Blockchain and Distributed Ledger Technology (DLT)
A DLT-based cross-border settlement platform can transform how international payments are processed.
For instance, a Japanese or Taiwanese bank operating in GIFT City IFSC could use such a platform to execute multi-currency settlements with near-instant reconciliation, reduced costs, and full transparency.
Blockchain’s inherent immutability enhances auditability, ensuring each transaction meets the IFSCA’s compliance protocols — critical for regulated entities seeking to start business in GIFT City with long-term operational efficiency.
5. Cloud Computing Services
Cloud solutions provide scalable digital infrastructure for exchanges, brokers, and payment intermediaries.
A cloud service provider supporting a digital exchange in GIFT City ensures real-time trading capabilities, data protection compliance, and 24/7 uptime for global users.
Given the regulatory expectations around data localisation, GiftCityAdvisor recommends that service providers follow ISO-27001 and IFSCA data protection standards to maintain credibility and licensing continuity.
6. Cybersecurity Solutions
In a digital-first ecosystem like GIFT City India, cyber resilience is non-negotiable.
Cybersecurity firms offering threat detection, penetration testing, and fraud prevention play a vital role in enabling IFSC participants — from exchanges to asset managers — to maintain operational security.
For a deeper look at compliance and security setup, consult a Gift City Consultant
before initiating your application process.
Digital Identity and Advanced Tech Services
7. Digital Identity and Biometrics
A biometric-based onboarding system can help IFSC-registered banks conduct KYC and AML verification for international clients remotely. This not only ensures compliance with IFSCA and FATF norms but also simplifies onboarding for cross-border clients.
8. Payments Infrastructure and Technology
Payment gateways built under IFSCA guidelines allow seamless international money movement.
For instance, an IFSC-licensed fintech handling cross-border trade finance can use secure APIs to comply with SWIFT and ISO-20022 standards while enjoying India’s zero-GST SEZ benefits.
9. Quantum Technology
Quantum computing enables advanced risk simulations, portfolio optimisation, and arbitrage calculations.
This service gives hedge funds and investment firms in GIFT City a technological edge, improving decision speed and reducing computational bottlenecks.
Regulatory Technology (RegTech and SupTech)
RegTech solutions automate compliance, audit management, and AML monitoring — reducing the cost of regulatory reporting for IFSC-licensed banks.
Conversely, SupTech enhances the regulator’s own capabilities, helping IFSCA oversee the ecosystem efficiently through AI-driven supervision tools.
This synergy between regulators and innovators builds global confidence in GIFT City Gandhinagar as a transparent, high-trust jurisdiction.
Emerging Frontiers: Web 3.0 and Metaverse
Web 3.0 and Metaverse applications expand financial participation through virtual experiences.
A brokerage firm could build a metaverse trading floor, allowing clients to engage in immersive trading simulations or meet advisors digitally.
These forward-looking innovations align with GIFT City’s ambition to position India as Asia’s next fintech anchor — comparable to Taiwan’s fintech boom and Singapore’s regulatory innovation.
Conclusion: Compliance and Opportunity
The TechFin Service Catalogue is more than a regulatory checklist — it’s a blueprint for global competitiveness.
By combining clear definitions, cross-border operational freedom, and a progressive regulatory sandbox, IFSCA ensures GIFT City remains a trusted hub for fintech, RegTech, and sustainable financial innovation.
Explore how to start a business in GIFT City
or connect with GiftCityAdvisor to navigate licensing, compliance, and long-term growth opportunities within GIFT City IFSC.