Why UP’s GCC Incentives Could Make It India’s Fastest-Growing Service Hub

Uttar Pradesh (UP) has unveiled an ambitious Global Capability Centres (GCC) Policy 2024, aiming to position cities like Noida, Lucknow, Kanpur, and Varanasi as emerging technology and digital services hubs.

Key Highlights: GCCs in UP

• Targeted Job Creation: The policy aspires to generate over 200,000 high-paying jobs within five years across sectors such as IT, analytics, customer support, finance, and engineering.
• Tiered GCC Framework:
  • Level-1 GCCs: Require a minimum investment of ₹15 crore (₹20 crore in Gautam Buddha Nagar & Ghaziabad) or creation of 500 jobs (or more).
  • Advanced GCCs: Need ₹50 crore (₹75 crore in core districts) investment and 1,000 employees.
• Incentive Arsenal:
  • Land & Stamp Duty: 30–50% land subsidies, 100% stamp duty exemption
  • Capital & Operational Subsidies: 25% capital subsidy (caps vary by GCC level), plus operational, interest, and payroll support (up to ₹1.8 lakh per employee)
  • Startup & Innovation Boosts: IPR support, ideation reimbursement, CoE grants, and R&D incentives included
• Broader Ecosystem Strengths:
  • UP boasts over 2 lakh STEM graduates annually, 8,000+ higher education institutions, and large-scale infrastructure like AI City, Fintech Park, and expressways, enhancing mobility and attractiveness

Why GCCs in UP Matter

UP’s strategic approach combines talent, infrastructure, incentives, and geographic spread, proposing a compelling alternative to traditional tech hubs. The state is clearly aiming for balanced regional development, with a hub-and-spoke model that elevates both metro and tier-II/III cities.

Read more at Economic Times