REC Receives RBI Nod for GIFT City Subsidiary
REC Ltd. has obtained a crucial regulatory nod from the Reserve Bank of India (RBI) to establish a subsidiary in Gujarat International Finance Tech-City (GIFT) located in Gandhinagar, Gujarat. The proposed subsidiary is poised to engage in a spectrum of financial activities, including lending, investment, and other financial services, as outlined in a company statement.
The decision to extend operations into GIFT underscores REC's strategic imperative to diversify its portfolio and explore fresh avenues for expansion. With GIFT emerging as a prominent center for financial services in India, REC aims to leverage this dynamic ecosystem to bolster its global footprint.
Vivek Kumar Dewangan, CMD of REC Ltd., expressed confidence in GIFT's conducive environment for international lending activities, complemented by top-notch infrastructure. Dewangan emphasized REC's determination to capitalize on these advantages to establish a distinctive presence in the global marketplace.
The receipt of the 'No Objection Certificate' from RBI, dated May 3, 2024, marks a significant milestone for REC as it paves the way for the establishment of a wholly owned subsidiary in Gujarat International Finance Tec-City (GIFT), Gandhinagar, Gujarat.