GIFT IFSC Leasing Framework 2026: Towards a Global Multi-Asset Leasing Hub

India’s GIFT International Financial Services Centre (GIFT IFSC) has progressively developed an ecosystem for cross-border asset leasing, particularly in the aviation and maritime sectors. The next phase of this development may significantly broaden the scope of leasing activities undertaken from the IFSC.

On August 13, 2026, the International Financial Services Centres Authority (IFSCA) released a consultation paper proposing a consolidated “Framework for Leasing Activity in the International Financial Services Centre.” The proposed framework seeks to combine the existing aircraft leasing and ship leasing frameworks while introducing new asset classes and a dedicated regulatory structure for Special Purpose Vehicles (SPVs).

The development represents more than a regulatory consolidation. It indicates a move towards creating a scalable, multi-asset leasing framework capable of supporting different categories of internationally financed assets from GIFT IFSC.

A Unified Framework for Leasing in GIFT IFSC

Until now, the regulatory architecture for leasing in GIFT IFSC has evolved largely through separate frameworks and circulars for specific asset classes. IFSCA now proposes to bring the regulatory requirements for different leasing activities under a common framework.

The proposed framework would consolidate permissible activities that may be undertaken by lessors while continuing to recognise asset-specific statutory and regulatory requirements. It also proposes to supersede multiple existing leasing-related circulars through a single consolidated framework.

From a regulatory perspective, this can simplify navigation of the GIFT IFSC leasing ecosystem and provide a more consistent framework for entities undertaking operating and financial leasing activities.

More importantly, the architecture appears designed for future expansion. Eligible products and equipment are proposed to be specified separately in an Annexure. This enables IFSCA to add new categories of assets in the future without necessarily introducing an entirely new regulatory framework.

In effect, the proposed model represents a transition from asset-specific leasing regulations to a common leasing framework supported by asset-specific requirements.

Expanding Beyond Aircraft and Ship Leasing

The proposed IFSCA leasing framework 2026 considerably broadens the range of eligible assets.

The present list includes:

• Aircraft and helicopters, including engines and parts;
• Aircraft Ground Support Equipment;
• Aviation training simulation devices;
• Ships and ocean vessels, including engines and parts; and
• Oilfield equipment.

The inclusion of oilfield equipment leasing is particularly noteworthy. Leasing activity within GIFT IFSC has so far been strongly associated with aircraft and ships. Adding oilfield equipment extends the regulatory ecosystem into another category of high-value, capital-intensive assets.

The separate Annexure-based approach is equally significant. It creates a regulatory mechanism through which additional categories of equipment could potentially be notified as the IFSC leasing market evolves.

This gives the framework an important degree of scalability and could support the gradual development of GIFT IFSC as a broader international asset leasing and financing jurisdiction.

Greater Flexibility for Leasing Transactions

The proposed framework recognises the commercial complexity of modern leasing transactions.

A registered lessor may undertake an operating lease or financial lease, including hybrid structures. An applicant intending to undertake both operating and financial leasing activities would, however, need separate registrations for each activity.

The framework also permits various incidental transactions, including:

• Sale and leaseback;
• Purchase of assets;
• Novation;
• Transfer;
• Assignment; and
• Other related transactions, subject to applicable conditions.

For ship and ocean vessel leasing, the framework specifically recognises voyage charters, contracts of affreightment, participation in shipping pools and other lawful commercial transactions for employment of vessels, provided the prescribed ownership or leasehold conditions are met.

These provisions are important because global leasing structures often extend beyond a straightforward lessor-lessee arrangement. Assets may be acquired, refinanced, transferred, sold and leased back, or deployed through different commercial arrangements during their economic life.

The proposed framework therefore supports not only asset ownership but a broader range of leasing, financing and commercial deployment structures.

SPV-Based Leasing Structures in GIFT IFSC

One of the most significant features of the proposed framework is the introduction of a dedicated regulatory structure for leasing through Special Purpose Vehicles (SPVs).

An SPV may hold more than one eligible product or equipment, provided the acquisition cost of each asset is USD 10 million or above. The SPV cannot undertake independent commercial activities outside the permitted framework and must remain separate from its originator.

The proposed structure also requires an arrangement with a Trust and Company Service Provider (TCSP) for regulatory and compliance support. Among other requirements, the SPV must have at least one director or equivalent officer stationed in IFSC, minimum prescribed employees, an independent director or equivalent person, and appropriate governance and operational safeguards.

The formal recognition of SPVs is relevant because asset-level entities can facilitate transaction-specific ownership and financing structures while maintaining appropriate regulatory oversight.

Regulatory Substance and Compliance Remain Important

While the framework seeks to promote ease of doing business, it continues to emphasise meaningful regulatory presence in GIFT IFSC.

An applicant is required to establish necessary infrastructure in IFSC, including adequate office space and communication facilities, and undertake to employ at least two qualified personnel based in IFSC before commencement of operations.

The framework also incorporates requirements relating to fit and proper criteria, AML/KYC compliance, corporate governance, applicable prudential requirements and sector-specific legislation.

Further, sharing of office space or manpower is subject to the Special Economic Zones Rules, 2006, including prior approval from IFSCA under Rule 21B in applicable cases.

The regulatory direction is therefore clear: greater structuring flexibility is intended to operate alongside adequate substance, governance and compliance.

Conclusion

The proposed GIFT IFSC Leasing Framework 2026 marks an important evolution in the development of India’s international leasing ecosystem.

By consolidating aircraft and ship leasing requirements, enabling oilfield equipment leasing, introducing SPV structures and creating flexibility for adding new asset classes, IFSCA is proposing a regulatory architecture capable of supporting a wider range of global leasing transactions.

Its larger significance lies in moving GIFT IFSC beyond individual asset-specific frameworks towards a scalable multi-asset leasing ecosystem—one that combines international asset ownership, leasing, financing and commercial structuring within an integrated financial services jurisdiction.

The framework discussed above is presently a consultation paper issued by IFSCA and represents a proposed regulatory framework. The final framework may differ based on the consultation process and subsequent regulatory changes.