International Finance Services Centres Authority (IFSCA) constituted Expert Committee on Longevity Finance, co-chaired by Kaku Nakhate, Country Head (India), Bank of America and Gopalan Srinivasan, Ex-CMD, New India Assurance Co. Ltd. submitted its final report to the Chairperson, IFSCA on 12 April.
The committee examined emerging trends in the Longevity Economy globally and observed that people over 60 years old are still very much a highly productive demographic group in terms of purchasing power and make up the wealthiest part of the financial system with a global spending power of $15 trillion.
Highlighting the critical role of financial services sector for the growth of Longevity industry, the Committee recommended the setting up of first Global Longevity Hub (GLH) in GIFT-IFSC and suggested that the hub should focus on developing the longevity economy by offering various longevity finance solutions in coordination with leading corporates and financial institutions such as Banks, Pension Funds, Asset Management Funds, Insurance Companies, etc.
Nakhate stated, “Advances in healthcare and medical technology have increased the lifespan of humans. The long-term vision of building a strong longevity finance hub at IFSC can open-up opportunities in wealth management, insurance, pension, silver entrepreneurship and medial tourism. This will help GIFT IFSC emerge as a global leader in longevity finance, immediately addressing the requirements of baby boomers, Gen X & Gen Y cohorts, and setting the path for millennials. I would encourage global banks, insurance companies, financial institutions, and fintechs & health-techs to set up shops here to create a unique longevity hub for the world.”
“This is a great move and will have a very positive impact on the role of silver generation,” observed Gopalan Srinivasan, co-chair of the expert committee. He further stated, “It has been a pioneering effort on the part of IFSCA to establish an expert committee on Longevity Finance and recognize the importance of developing a longevity finance hub in IFSC. The Hub will focus on skill development, entrepreneurial development and also address the demand of financial and insurance products for silver generation,” added Nakhate.
The committee members comprised of leaders from the longevity finance ecosystem including banking, insurance, wealth management, FinTech, legal, compliance and management consultancy.