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India’s Global Capability Centres (GCCs) have thrived due to robust infrastructure, business-friendly reforms, and a deep talent pool but sustaining this momentum will require more effort, according to Department of Economic Affairs (DEA) Secretary Anuradha Thakur.

Speaking at the CII GCC Business Summit on July 14, Thakur highlighted the core drivers of India’s rise as a global hub for GCCs, including strong physical and digital infrastructure, the Digital India mission, and regulatory reforms aimed at streamlining approvals, taxation, and compliance.

With over 1,800 GCCs now operating in India, Thakur emphasised the need for a targeted policy push, deeper Centre-state coordination, and curriculum upgrades to sustain the sector’s growth. She also stressed the importance of studying state-level success stories, particularly Karnataka, Tamil Nadu, and Telangana, to understand what policy and infrastructure choices helped attract GCCs.

Thakur also stressed the importance of studying state-level success stories, particularly Karnataka, Tamil Nadu, and Telangana, to understand what policy and infrastructure choices helped attract GCCs. Key challenges ahead include curriculum reform to meet the demands of emerging technologies like AI and engineering R&D, geographic diversification to explore tier-2 cities with rich talent pools, broader international outreach to attract newer businesses and investment from beyond the US, and closer government-industry partnerships to shape supportive policy frameworks.

Labour and Employment Secretary Vandana Gurnani urged GCCs to participate in the Employment Linked Incentive (ELI) scheme, noting that there is a huge scope for employment of youth and women in these sectors. “We can partner with GCCs at the national and state level,” she said, adding that the scheme design and processes are very simple. Currently, about 30-35% of the workforce in GCCs in India is made up of women employees, she further noted.

Gurnani highlighted the benefits of the ELI scheme, citing international experience with countries like Singapore, Australia, Turkey, and Germany launching similar schemes. “Not only did they increase employment but they increased sustained employment and led to a rise in wages,” she said, adding that from an employer’s perspective, the ELI scheme brings down the cost of hiring.

India’s large pool of STEM graduates has been a key driver of the GCC sector’s rapid growth. About 2.1 million STEM graduates emerge in India each year. Today, women make up approximately 35% of the GCC sector workforce. With a median workforce age of 28, the sector is set to continue its upward momentum. Backed by the right policy push and infrastructure support, GCCs are poised to play an increasingly vital role in the country’s economy.