GIFT City Ship lessors – Attention!

Brief Overview:

Ship lessors in GIFT City are restricted from involving themselves in any transaction regarding transfer of title (ownership/leasehold) of a ship/vessel from person resident in India to GIFT entity for the purpose of providing services solely to person resident in India.

Though acquisitions of new ships or new lease contracts with person resident outside India to serve person resident in India is permitted.

Technical Details:

IFSCA has laid down a Ship Leasing Framework that deals with entities registered under Finance Company Regulations for undertaking ship lease transactions.

IFSCA issued a circular introducing additional requirements for finance companies acting as lessors under the said framework.

Vide this circular, specific conditions with respect to transactions involving transfer of ownership or leasehold rights of ships/ vessels are laid down where services are provided to person resident in India.

Key Takeaways:

GIFT City Finance Company needs to be careful on end use of the vessel while acquiring ship from Indian entities.

For further details, please see:

For any queries / clarifications, please feel free to ping us and we will be happy to chat:

Similar Articles

Subscribe to our Newsletter



The Bar Council of India prohibits advocates from soliciting work or advertising. By clicking ‘AGREE’ below, the user acknowledges that no solicitation has been made, and this website serves as a resource for general information about Juris Corp at the user’s own risk. The information provided here neither constitutes legal advice nor creates a lawyer-client relationship. The links provided are not endorsements by Juris Corp, and Juris Corp is not responsible for any linked content. Users are advised to seek independent legal advice for any legal issues.