India's Strategic Push to Sustain Global Capability Centres Momentum

The Economic Survey highlights India's growing role as a hub for Global Capability Centres, stressing the need for skill development and strategic policies. With GCCs expanding to 1.9 million employees by FY24, India's service sector dominance is reinforced, contributing significantly to GDP and global competitiveness.

The Economic Survey, presented to parliament on Friday, underscored the necessity for strategic policy interventions to sustain the growing momentum of Global Capability Centres (GCCs) in India. Emphasis was placed on training and skill development as pivotal to sustaining this growth, ensuring India's competitiveness in the global services sector.

According to the survey, India's GCCs are transforming the corporate landscape and shaping international business dynamics. The number of GCCs has risen from 1,430 in FY19 to over 1,700 in FY24, employing nearly 1.9 million professionals. This expansion reinforces India's position as a strategic hub.

The survey also highlighted the 'Old War Horse' of India's economy—the service sector. It continues to drive both domestic and global growth, bolstering GDP amidst fluctuating global trade. With the sector contributing 55% to the Gross Value Added in FY25, India's global services export share is on the rise, making it a key player worldwide.

(With inputs from agencies.)