Federal Bank has received Reserve Bank of India’s (RBI) nod for setting up International Financial Services Centre (IFSC) Banking Unit in Gujarat International Finance Tec-City (GIFT City). A unit at GIFT City is equivalent to a foreign branch and hence facilitates the Bank to function as such from within the Indian shores.
Following the opening of Banking Unit, Federal Bank will be able to meet the funding requirements of overseas entities other than individual or retail customers or HNIs. The Bank can also deal with the wholly owned subsidiaries or joint ventures of Indian companies registered abroad. It also permits the Bank to accept borrowings in foreign currency with original maturity period greater than one year.
