Ahmedabad, Oct. 10 -- In a move that quietly marks India's arrival on the map of global finance, the government has equipped GIFT City with a real-time foreign currency settlement system-cutting transaction times from days to mere seconds.

As Union Finance Minister Nirmala Sitharaman on October 7 inaugurated the Foreign Currency Settlement System (FCSS) at the International Financial Services Centre (IFSC) in Gujarat International Finance Tec-City (GIFT City), India's financial infrastructure took a major leap.

The new mechanism enables real-time or near real-time settlement of foreign currency transactions carried out by entities operating in GIFT IFSC-reducing the existing lag of 36 to 48 hours seen in traditional correspondent bankin...