OVERVIEW:

• The UK-based Rolls-Royce & Partners Finance (RRPF) , a globally recognized name in aviation, has applied to establish an aircraft engine leasing unit in the GIFT City.

• The entity, named RRPF Engine Leasing (India) IFSC Pvt Ltd, will focus on leasing aircraft engines and related equipment to airline operators.

• The company’s application has already received an “in-principle” approval from the International Financial Services Centres Authority (IFSCA), signaling the commencement of its operations in the strategically significant GIFT City.

• This move is likely to attract other global aviation and financial firms to consider GIFT City for their operations, thereby enhancing its reputation and influence on the global stage.

ABOUT ROLLS – ROYCE & PARTNERS FINANCE (RRPF):

• Rolls-Royce & Partners Finance was formed in 1989 by Rolls-Royce and its financial partners.

• The company’s assets include aircraft engines from major Original Equipment Manufacturers (OEMs) such as CFM International, GE Aviation, International Aero Engines, and Rolls-Royce.

• RRPF specializes in the international leasing of aircraft engines, providing comprehensive and tailored solutions for clients around the world.

GIFT CITY’S GROWING ECOSYSTEM:

• Prior to RRPF, Willis Lease Finance India IFSC Pvt Ltd was the primary player in the engine leasing segment within GIFT City, registered in 2022.

• Willis Lease Finance has leased out 63 engines, with a majority going to Air India.

• As of February 2024, GIFT City hosts 27 aircraft leasing entities collectively leasing over USD 1 billion in aviation assets over the past three years.

STRATEGIC IMPORTANCE OF RRPF’S ENTRY:

• Enhancement of GIFT City’s Global Reputation: This move is likely to attract other global aviation and financial firms to consider GIFT City for their operations, thereby enhancing its reputation and influence on the global stage.

• Economic Growth and Job Creation: The establishment of RRPF Engine Leasing (India) IFSC Pvt Ltd will create high-skilled job opportunities in finance, aviation, and related sectors within GIFT City.

• Infrastructure Development: To accommodate the growing number of high-profile companies, GIFT City may see accelerated development in terms of infrastructure, including office spaces, connectivity, and support services, improving the overall business environment.

• Increased Financial Activity: RRPF’s entry into the market will likely increase the volume of aircraft and engine leasing transactions, contributing to the overall financial activity in GIFT City.

• Impact on India’s Aviation Sector: With more leasing options available domestically, Indian airlines might find it easier and more cost-effective to expand their fleets, leading to growth in the aviation sector.

CONCLUSION:

• The entry of Rolls-Royce & Partners Finance into GIFT City represents a crucial development for both the company and the region.

• By establishing RRPF Engine Leasing (India) IFSC Pvt Ltd, RRPF is positioning itself within one of India’s most promising financial zones, tapping into the growing demand for aviation leasing in the region.

• The approval of RRPF’s application underscores GIFT City’s potential as a strategic location for international financial services, marking a significant milestone in its evolution as a global financial hub.