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Gujarat government unveils policy for setting up 250 new Global Capability Centres
Breaking India News Today | In-Depth Reports & Analysis – IndiaNewsWeek > Nation > Gujarat Announces Initiative to Establish 250 New Global Capability Centres
Nation

Gujarat Announces Initiative to Establish 250 New Global Capability Centres

Nation Desk By Nation Desk February 11, 2025 4 Min Read
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The Gujarat government has launched its inaugural Global Capability Centre Policy (2025-30) with the goal of establishing the state as a primary hub for Global Capability Centres (GCCs). This initiative aims to set up at least 250 new GCCs, attract investments of ₹10,000 crore, and generate 50,000 jobs.

Crafted by the Department of Science and Technology, the new policy seeks to position Gujarat as a center of excellence for GCCs, focusing on high-value employment, skill enhancement, innovation, and digital transformation. The policy also aims to bolster infrastructure, improve connectivity, and sustain economic growth, which will enhance the state’s competitiveness on a global scale. Chief Minister Bhupendra Patel officially introduced the policy at GIFT City in Gandhinagar.

The initiative includes a variety of incentives, such as employment support, interest subsidies, and electricity reimbursements for newly established capability centers. Chief Minister Patel emphasized that this initiative creates new opportunities for Global Capability Centres to set up operations in Gujarat.

The Chief Minister also highlighted the significant impact of GCCs in promoting digital transformation, fostering innovation, and enhancing business resilience. Originally established as cost-saving entities, GCCs have transformed into strategic innovation hubs, providing services across multiple domains, including technology, finance, analytics, engineering, and research & development.

The new policy outlines capital expenditure (CAPEX) assistance of up to ₹50 crore for units with gross fixed capital investment (GFCI) below ₹250 crore, and up to ₹200 crore for those exceeding that threshold. Eligible CAPEX components for financial support include construction, building purchases, computers, software, networking hardware, renewable energy investments, and stamp duty; however, land costs are excluded.

For operational expenditure (OPEX), the policy provides assistance of up to ₹20 crore for units with GFCI below ₹250 crore and up to ₹40 crore for units with GFCI above ₹250 crore. This OPEX support covers costs such as cloud rentals, patent fees, lease rentals, bandwidth, and power tariffs.

In terms of employment generation incentives, the policy offers one-time assistance equivalent to 50% of one month’s cost-to-company (CTC) for newly hired local employees who remain with the firm for at least one year, with maximum caps of ₹50,000 for male employees and ₹60,000 for female employees.

Additionally, the policy includes a 7% interest subsidy on term loans under the Special Incentive Policy, capped at ₹1 crore annually for five years. It also reimburses employers’ contributions to the Employee Provident Fund (EPF) through the Atmanirbhar Gujarat Rojgar Sahay Yojana, covering up to 100% for female employees and 75% for male employees.

Moreover, the policy provides full reimbursement of the electricity duty paid to the Gujarat government, along with skill development incentives that reimburse up to 50% of course fees for working professionals and up to 75% for undergraduate and graduate students. Financial support for quality certification is also available, covering up to 80% of certification costs, capped at ₹10 lakh.

Chief Minister Bhupendra Patel indicated that the Gujarat Global Capability Centre Policy aims to foster a world-class ecosystem conducive to innovation, establishing Gujarat as a sought-after destination for GCCs. He further noted that this year’s Union Budget includes a dedicated plan to promote GCCs across India, expanding opportunities for talent in smaller cities.

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