NEW DELHI: Finance minister Nirmala Sitharaman in her Union Budget 2025 speech announced the introduction of a national guidance framework for global capability centres (GCCs). This initiative aims to facilitate the growth of GCCs in tier-II cities by enhancing talent availability, improving infrastructure, implementing building-bylaw reforms, and fostering collaboration between industry and government.
Real estate experts expects the move to boost the commercial real estate sector in tier-II and tier-III cities as well.
Sanjeev Dasgupta, CEO, CapitaLand Investment (India), said, “As India cements its position as a preferred destination for high-value global operations, this initiative will help states attract and scale GCCs by strengthening talent pipelines and infrastructure.”
As of fiscal year 2024, India’s global capability centres’ market is valued at $64.6 billion, with projections to reach $105 billion by 2030.
“Given India’s rising economic influence, this move is expected to fuel office space demand in major metros like Bengaluru, Mumbai, Hyderabad, Pune, and Chennai, as well as Tier-II and Tier-III cities, said Anuj Puri, chairman, ANAROCK Group.
Swathy Ramanath, partner, Khaitan & Co, echoed similar sentiments, stating, “By announcing the introduction of a national guidance framework to support the growth of Global Capability Centres, along with a focus on upskilling through the establishment of Centres of Excellence, the Government of India has clearly recognised the significance of GCCs to India’s growth story. This is an encouraging move aimed at keeping India at the forefront of innovation.”
Rajat Kapur, managing director, North India, UAE & KSA, The Executive Centre feels simplifying processes for GCCs to set up offices in India will further enhance the country’s position as a global business hub.
Amit Kumar Sinha, MD & CEO, Mahindra Lifespace Developers added that they have seen GCCs emerge as some of the largest occupiers of Grade A office spaces in recent time.
