Indian Overseas Bank (IOB) has received approval from the Reserve Bank of India to establish an IFSC Banking Unit (IBU) at Gujarat International Finance Tec-City (GIFT City). The move aligns with the bank’s expansion strategy into international financial services and strengthens its presence in India’s premier global finance hub.
Indian Overseas Bank announced that the Reserve Bank of India, through letter dated December 29, 2025, has granted permission to set up an IFSC Banking Unit in GIFT City, Gandhinagar. The IBU will enable the bank to handle foreign currency transactions, trade finance, and offshore banking activities, expanding its footprint beyond domestic banking operations.
Key Developments
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IOB’s entry into GIFT City marks an important step in leveraging India’s growing role as a global financial services centre.
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The new unit will help the bank cater to corporate clients, NRIs, and global trade requirements through simplified regulatory and tax frameworks provided at GIFT IFSC.
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With this approval, IOB joins the league of leading Indian banks already operating in GIFT City, reflecting increasing confidence in the IFSC ecosystem.
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The announcement reinforces IOB’s strategic focus on diversifying its banking portfolio and tapping international business opportunities.
Source: Indian Overseas Bank exchange filing, Reserve Bank of India