GIFT City Revolutionizes Aircraft Leasing, Unlocking $5 Billion Opportunity for Indian Aviation

GIFT City, a global financial hub in Gandhinagar, has emerged as a pivotal player in transforming India's aviation landscape, offering a $5-billion opportunity annually through its advantageous aircraft leasing provisions. Civil Aviation Minister K Ramamohan Naidu announced this transformative potential on Friday.

Located within a special economic zone, GIFT City provides tax incentives for businesses, making it a strategic location for aircraft leasing. Lessors operating from this center benefit from tax exemptions and a simplified leasing procedure, eliminating the need for prior approval to import or lease aircraft, ultimately reducing leasing costs by up to 15%.

Speaking at the Western Region Ministers' Conference of Aviation, Naidu emphasized that the aviation sector is not just transportation but a catalyst for economic growth. The minister highlighted the government's long-term goal of 'Viksit Bharat by 2047' and how the civil aviation sector plays a crucial role in achieving this vision by acting as an economic springboard and spurring infrastructural development.

(With inputs from agencies.)