GIFT City: Transforming India's Global Reinsurance Landscape
Sarbvir Singh, Joint Group Chief Executive Officer of PB Fintech, recently highlighted the escalating appeal of India's Gujarat International Finance Tec-City (GIFT City) for global reinsurance companies. Singh emphasized that the regulatory environment at GIFT City has become more conducive to international business, spurring growth in both non-life insurance and reinsurance activities. Between 2020 and 2025, insurance and reinsurance volumes at GIFT City surged from $102 million to $1.2 billion.
This expansion signifies a substantial increase in India-linked risk underwriting, attracting global insurers and brokers from diverse regions, including Europe, Australia, and Africa. The International Financial Services Centre Authority (IFSCA) reported a rise in registrations and authorizations at GIFT City, from 1,114 in December 2025 to 1,213 by March 2026, indicating sustained growth.
Growing Presence of Insurance Entities
The number of Insurance Offices (IIOs), which are licensed insurance entities, saw a notable increase from 24 in December 2025 to 36 in March 2026. Concurrently, International Insurance Intermediary Offices (IIIOs) grew from 31 to 34 in the same period. Direct insurance gross written premiums by IIOs climbed from $9.25 million in the preceding quarter to $15.38 million in Q4 FY2025–26. Reinsurance gross written premiums rose from $148.13 million to $186.93 million over the same period.
Competitive Edge and Investment Appeal
According to Singh, GIFT City rivals other international financial centers like Singapore and Dubai through a unified regulatory framework that simplifies market entry for international firms. GIFT City's allowance for 100% foreign direct investment (FDI) in insurance and reinsurance entities enables global reinsurers to operate independently and manage operational control without restrictions.
Singh also elaborated on the tax benefits for companies operating within GIFT City, including a 100% tax exemption for 10 consecutive years under Section 80LA of the Income Tax Act. This policy framework enhances capital deployment efficiency and assures investors of long-term stability.
Market Potential and Global Integration
GIFT City's regulatory approach permits Insurance Offices to adhere to the solvency standards of their home jurisdictions, such as the Prudential Regulation Authority in the UK. This synergy allows global firms to leverage existing international capital effectively and lowers the cost of business activities. Previously, foreign ownership limits hampered India's insurance sector, often necessitating international joint ventures. Now, GIFT City allows full foreign ownership, facilitating global firms to implement their underwriting models and corporate practices while tapping into India's market potential.
Singh indicated that the influx of international reinsurers at GIFT City is transforming it into a scalable global hub. This development supports reinsurers in harnessing India's expanding market opportunities, paving the way for competitive premium pricing, especially in complex market segments. As GIFT City continues to attract reinsurance capital, it enhances the risk-bearing capacity of domestic insurers and integrates global best practices into the local market. Singh anticipates that the city will evolve into a leading destination by integrating Insurtech for innovative underwriting and product development, with the IFSCA playing a pivotal role in linking Western capital with opportunities in the Global South.