New Delhi, Feb 20 (IANS): The International Financial Services Centres Authority (IFSCA) on Friday issued the framework to enable the aircraft operating lease business in India's International Financial Services Centres.

On October 16, 2020, the Centre on the recommendation of IFSCA had notified 'Aircraft lease' business as 'financial product' under the International Financial Services Centres Authority Act, 2019.

The IFSCA had issued a consultation paper on 'Draft Aircraft Leasing Regulations' on December 16, 2020.

"Based on the interest shown by various participants and the feedback of various stakeholders received, a 'Framework for Aircraft Operating Leases' has been issued by IFSCA today," the Finance Ministry said in a statement.

"This will enable the aircraft operating lease business in IFSCs in India, the projected market size of which is more than USD 50 billion."

In her July 2019 Budget speech, Union Finance Minister Nirmala Sitharaman had said: "The time is ripe for India to enter into aircraft financing and leasing activities from Indian shores."

She had said that this is critical for the "development of self-reliant aviation industry" and creating, "aspirational jobs in aviation finance, besides leveraging the business opportunities available in India's Financial Special Economic Zone, namely, International Financial Services Centre."