What is IFSCA?
- It is a statutory authority established under the International Financial Services Centres Authority Act, 2019 (“IFSCA Act”).
- Mandate: To develop and regulate the financial products, financial services, and financial institutions in the International Financial Services Centres (‘IFSC’).
- The IFSCA aims to develop a strong global connection and focus on the needs of the Indian economy as well as to serve as an international financial platform for the entire region.
- Before the establishment of IFSCA, the domestic financial regulators, namely, RBI, SEBI, PFRDA and IRDAI regulated the business in IFSC.
- GIFT-IFSC is the maiden IFSC in India.
Who are the Members of the IFSCA?
The International Financial Services Centres Authority consist of nine members, appointed by the central government.
- They will include the chairperson of the authority, a member each from the RBI, SEBI, the Insurance Regulatory and Development Authority, and the Pension Fund Regulatory and Development Authority.
- Two members from the Ministry of Finance. In addition, two other members will be appointed on the recommendation of a Selection Committee.
- Term:All members of the IFSC Authority will have a term of three years, subject to reappointment.
Q1) When was IFSCA established?
The International Financial Services Centres Authority (IFSCA) was established on April 27, 2020 under the International Financial Services Centres Authority Act, 2019. It is headquartered at GIFT City, Gandhinagar in Gujarat.