Financial crime compliance services, taxation services, accounting services and book-keeping services have been brought under the ambit of financial services that can be provided from the International Financial Services Centre (IFSC) at GIFT City.

Financial crime services include services rendered in relation to compliance of Anti-Money Laundering (AML)/ Countering the Financing of Terrorism (CFT) measures and Financial Action Task Force (FAFT) recommendations and other related activities, a Finance Ministry notification dated January 18 said. The notification defines the four services as “financial services” and brings them under the ambit of IFSCA at GIFT City.

“We have very little talent in the country with regard to services like Anti-Money Laundering and Countering Financing of Terrorism. By including these services in IFSC, we will be able to attract talent and also nurture it for the future,” senior official sources told businessline on condition of anonymity.

“As far as taxation and accounting services are concerned, we have cost-effective talent in the country. We have an opportunity to export services from GIFT City and become accountants to the world. The Philippines is currently doing a lot of similar work,” the official added.

According to the notification, these financial services will be offered by units in IFSC to non-residents (persons resident outside India under the Foreign Exchange Management Act, 1999) whose business is not set up either by splitting up of business already in India, or reconstructing or reorganising business that is already in existence in India. These services can also be provided to existing units located in the International Financial Service Centre at GIFT City.

These services, like existing services at IFSC, will be regulated by the International Financial Services Centres Authority. 

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