Citibank becomes first US bank to set up unit in IFSC

Citibank, which is headquartered in the USA and has a strong international presence, on Monday received a license from the IFSC Authority to set up its banking unit at India’s first International Financial Services Centre at GIFT City, Gujarat.

With this, Citibank will become the first Us-based bank to set up a branch in GIFTIFSC. Citibank will be servicing both Indian as well as its global customer base from this IFSC branch.

India’s maiden IFSC at GIFT City has witnessed significant increase in banking sector activity, with the total banking transactions now crossing the $100-billion mark. These transactions include external commercial borrowings, foreign currency term loans, and trade finance among others. Ever since IFSCA assumed the role of the unified financial regulator for the IFSC in India, the regulatory regime at GIFT City is being benchmarked with global standards, resulting in major traction from the financial services industry.

Recently, Deutsche Bank, became the first German bank to set up IBU (IFSC Banking Unit).