India is on course to solidify its position as the world’s leading hub for Global Capability Centers (GCCs), with more than 2,100 centers projected by FY2028, according to a recent industry report by Vestian. The sector is anticipated to grow at a compound annual growth rate (CAGR) of 8%, with an estimated 150 new GCCs being established each year.
Mapping India’s GCC Growth Trajectory
As of 2025, India is home to nearly 1,700 GCCs—representing a massive 53% of the global total (out of approximately 3,200 worldwide). Tier-1 cities continue to dominate this landscape:
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Bengaluru: 487 GCCs (29%)
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Hyderabad: 273 GCCs (16%)
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NCR (Delhi-Gurgaon-Noida): 272 GCCs
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Mumbai: 12% of total
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Pune: 11%
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Chennai: 10%
These metro hubs are thriving thanks to robust infrastructure, a deep talent pool, and strong connectivity.
Tier-2 Cities on the Rise
While Tier-1 cities lead in numbers, Tier-2 cities are emerging as promising destinations for new GCC investments. The Union Budget 2025 has proposed a national framework to promote GCC expansion into these regions, fostering inclusive economic development.
Sector-Wise Distribution
The Vestian report also provides insights into sectoral contributions within India’s GCC ecosystem:
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IT & ITeS: 49%
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Banking, Financial Services & Insurance (BFSI): 17%
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Others (Healthcare, Engineering, Consulting, Telecom, etc.): 19%
This diversification highlights India’s strategic value across a wide range of industries—from cutting-edge tech to global finance.
India’s GCC Advantage
Shrinivas Rao, CEO of Vestian, explains why India continues to lead:
“India’s top office markets offer a compelling value proposition—cost-efficient operations, a skilled workforce, world-class infrastructure, and forward-looking policies.”
He also stressed the importance of strategic planning:
“Vestian’s GCC Market Entry Index enables companies to select locations aligned with their long-term goals.”
What Are GCCs and Why Do They Matter?
Global Capability Centers (GCCs) are offshore hubs set up by multinational corporations to centralize functions such as IT, R&D, finance, HR, and analytics. Once viewed primarily as cost-saving units, today’s GCCs are innovation powerhouses, driving digital transformation and operational excellence.
India’s leadership in the space is driven by:
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A large, tech-savvy talent pool
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A strong academic and startup ecosystem
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Proactive government support
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Rapid infrastructure development in metros and beyond
Final Thoughts
With projections of over 2,100 GCCs by FY2028, India is clearly moving beyond its traditional back-office image. It is evolving into a strategic innovation hub, empowering global enterprises with cutting-edge capabilities and future-ready talent.
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