Indian lawmakers have put forward a proposal that would let overseas companies move their legal domicile to the Gujarat International Finance Tec-City, or GIFT City, financial hub. The move is aimed at drawing more international business into India's flagship special economic zone.
What the proposal would do
The plan would amend existing company law to permit foreign-incorporated entities to redomicile — essentially shift their corporate headquarters and registration — to GIFT City. Currently, Indian law does not allow such cross-border transfers of domicile. If passed, companies could relocate without having to wind up operations abroad or reincorporate from scratch.
Why GIFT City
GIFT City, located in Gujarat, was designed as a global financial services center with tax breaks, lighter regulation, and world-class infrastructure. It already hosts a international stock exchange, a bullion exchange, and dozens of banks and fintech firms. Lawmakers see the redomicile proposal as a way to make the hub more attractive to multinationals that want a legal base in India but also need flexibility to operate across borders.
The proposal is still in early stages. It will need to be debated and voted on by Parliament before becoming law. No timeline has been set. For now, the government is seeking feedback from industry bodies and legal experts — though no formal comment period has been announced.
