New Delhi: Finance Minister Nirmala Sitharaman on Tuesday launched the foreign currency settlement system (FCSS) at GIFT IFSC, enabling real-time transactions, improving liquidity management, and ensuring regulatory compliance. Currently, foreign currency settlements take 36 to 48 hours to process.

The FCSS will serve as a payment system within IFSC, designed to settle transactions in foreign currencies on a real-time or near real-time basis.

Addressing the Global Fintech Fest 2025, Sitharaman stated that with the operationalization of the FCSS, GIFT IFSC joins a select group of global financial centres—including Hong Kong, Tokyo, and Manila—that have the infrastructure to settle foreign currency transactions locally.

Highlighting India’s fintech growth, the minister noted that the country ranks third globally in fintech companies and handles half of the world’s real-time digital transactions. She emphasized that fintech has democratized finance, allowing millions to save, invest, borrow, and insure transparently. The government’s role, she said, is to enable innovation and business growth without interfering in their progress.

On technology and AI, Sitharaman highlighted India’s USD 1.3 billion India AI Mission, underlining the country’s commitment to innovation while cautioning against the misuse of AI for deception and fraud. She shared her own experience with manipulated deepfake videos to illustrate the risks.

Sitharaman also noted the impact of Direct Benefit Transfer (DBT), which has saved Rs 4.31 lakh crore by ensuring public funds reach intended beneficiaries rather than ghost entities. DeshGujarat