Karnataka urges Centre to create GIFT City, fast-track approvals

Bengaluru, NT Bureau: The Karnataka government on Friday made a strong pitch for establishing a dedicated Central Business District -- modelled on the lines of Gujarat's GIFT City on the Sabarmati banks in Ahmedabad -- in the state, besides seeking faster clearance for multiple projects across sectors.

Ahead of the Union Budget by the Narendra Modi government in its third term, Karnataka IT&BT Minister Priyank Kharge wrote to Union Finance Minister Nirmala Sitharaman and Union IT, Electronics and I&B Minister Ashwini Vaishnaw with a "wishlist" seeking Centre's attention.

Kharge said that Karnataka wants to set up a Central Business District that will act as a global financial and IT hub. GIFT City or Gujarat International Finance Tec-City was initiated with a significant investment with initial estimates of USD 1 bn over 886 acres of land.

GIFT City consists of a conducive multi-service SEZ and an exclusive domestic tariff area (DTA), with areas split in a 1:3 ratio. Kharge highlighted that Karnataka has a vibrant economy with IT, BT, aerospace, automotive, textiles, and heavy industries forming the cream of the investment pie.

"The state is strategically located, and is well-positioned to replicate a similar business hub. Bengaluru counts semiconductor and electronics domain, fintech space, enterprise tech, e-commerce and ed-tech as emerging fields of interest. "A GIFT City in Karnataka will boost economic growth and create numerous employment opportunities,'' he said.