Want to invest in global markets, but tax rules and RBI restrictions are confusing you? In this detailed video, we will explain GIFT City (Gujarat International Finance Tec-City) — which has emerged as a smart and legal option for Indian investors to invest in global mutual funds. Due to RBI’s overseas investment limits, many domestic mutual fund schemes have stopped fresh inflow on foreign investments. In such a situation, GIFT City IFSC provides an alternative route, especially for US dollar-denominated global mutual funds.

Indian share market is currently in recovery mode. After the strong momentum of September 2024, there was a bounce in December, but still the portfolios of most investors are in loss. Whereas China and Hong Kong markets are on record rally. Hang Seng Index has shown a rise of about 29% in the last one year, due to which foreign investors are withdrawing money from India and shifting towards China.
To take advantage of this opportunity, Edelweiss AMC has launched China Fund in GIFT City, which will invest in JPMorgan Greater China Fund. Minimum investment is $5000.
Apart from this, options like Mirae Hang Seng TECH ETF and Nippon Hang Seng BeES are also available for investment from ₹ 5000.

A new milestone has been established in the financial markets of India. The derivative contract Gift Nifty traded on the NSE International Exchange (NSE IX) located in the GIFT City, won a monthly turnover of $ 102.35 billion (about 8.75 lakh crore rupees) in May 2025, which is its biggest figure so far. Earlier in April 2025, a record of $ 100.93 billion was made, which has now been left behind.

Great journey of gift nifty

The total turnover of Gift Nifty has reached $ 1.93 trillion since on the full scale operation from 3 July 2023. Trading has been done at more than 43.28 million contracts by May 2025. NSE IX said in a statement, “We are happy with this success of Gift Nifty and thank all the participants who made it a successful product.”

What is the situation for Indian retail investors?

Although GIFT NIFTY has made a mark globally, Indian retail investors still cannot take advantage of this platform. Under RBI’s Liberalized Remedy Scheme (LRS), Indian investors cannot use their 250,000 $ 250,000 (more than Rs 2 crore) in leveraged trading such as Futures & Options (F&O).

However, Indian brokerage firms and their subsidiary companies can onboard NRI clients and high-net-forth Indian family offices and trading on this platform.

NSE ix is ​​the global financial center of gift city

NSE IX was established on 5 June 2017 and works in the regulation of International Financial Services Centers Authority (IFSCA). It has more than 99 percent market share in GIFT IFSC. There are many products available here like Indian single stock and index derivatives, currency derivatives, depository receipts and global equities. Apart from this, ESG-Linked Date Instruments, Spacs, Reits and Invits can also be listed.

American investors also get permission

Gift Nifty has also been approved by US financial regulators CFTC and SEC, so that US -based investors can also trade in derivative products on this platform.

This achievement of Gift Nifty is a major step towards setting up India as a global financial hub. As more international investors join, the Indian markets are expected to gain further faster.

Disclaimer: (Information provided here is being given only for information. It is necessary to tell here that the investment market is subject to risks. Always consult expert before investing as an investor. Abplive.com is never advised to invest money here.)

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