The Indian government is working on a set of policy initiatives aimed at accelerating the growth of Global Capability Centers (GCCs) in the country, according to a senior government official. Currently, India is home to more than 1,800 GCCs, and officials are looking to scale this number further.
At the GCC Business Summit, Anuradha Sharma, Secretary, Department of Economic Affairs, Ministry of Finance, outlined several policy directions to support the sector’s growth. She emphasized the need for “exact action points” and called for greater collaboration between the government and industry stakeholders.
Sharma noted that India has become one of the world’s largest destinations for GCCs. She highlighted the evolution of the sector—from Business Process Outsourcing (BPO) to captive centres, and now to modern-day GCCs—describing it as a “huge engine of revenue, growth, and employment.”
“The scale and range of services that GCCs are now engaging with—product development, operations, BPO, engineering, software—shows the diverse growth trajectory,” she said, pointing out that the sector contributes 1.8% to the country’s total gross value added.
India’s growth as a GCC hub has been supported by strong physical and digital infrastructure, along with policy efforts such as Digital India and business-friendly reforms over the past decade. Sharma also mentioned that states like Karnataka, Tamil Nadu, and Telangana have implemented specific policies to build digital and physical infrastructure, allowing for the clustering of GCCs in these regions.
She cited the country’s deep talent pool as a major advantage, with nearly 2.1 million STEM graduates joining the workforce each year. The workforce is also young and diverse, with a median age of 28 and women making up over 35% of the total talent base. According to Sharma, this offers a “fertile ground” for the further expansion of GCCs.
Despite the progress, she pointed out some areas that need improvement. Sharma raised concerns about limited participation of GCCs in national programs like the PM Internship Scheme. She also called for faster decision-making processes to unlock “win-win” opportunities for both the government and the industry.
She observed that while most GCCs are currently located in a few major metro cities, there is potential for expansion into tier-2 cities and states that have talent but relatively fewer GCC operations.
Sharma added that as GCCs move into advanced areas like engineering R&D, artificial intelligence, and emerging technologies, there is a growing need for specialised skill development. She also pointed out the shift from a US-dominated GCC presence to increasing interest from companies in other countries. To tap into this opportunity, Sharma stressed the need for stronger outreach efforts to attract more global firms.
She concluded by underlining the importance of a comprehensive framework that enables better coordination between the Centre and states. “What are those things that we need to create? What is the framework that is needed?” she asked, encouraging more states to leverage their talent resources and join India’s expanding GCC landscape.
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