India MoCA publishes proposal for development of aircraft financing and leasing industry in India

India's Ministry of Civil Aviation (MoCA) published (16-Jan-2019) a report from the Project Rupee Raftaar Working Group it established in May-2018 to review and recommend measures for developing an aircraft financing and leasing industry in India. The report "provides a roadmap for developing aircraft financing and leasing as an asset class from institutional investors in India" and proposes a structure to "provide a platform to set up India's first companies whose primary business is the undertaking of aircraft financing and/or aircraft leasing activities". It identifies Gujarat International Finance Tec-City (GIFT City) as the ideal location for India's aircraft financing and leasing industry, due to GIFT's "off-shore status for financial services to non-residents and residents... important income tax incentives, company law exemptions and dispute resolution mechanism". The working group recommended adopting "the global market leader Ireland's blueprints for the regulatory framework to be introduced in India". [more - original PR]