Lok Sabha Question No. 2931 (UNSTARRED), answered on 2025-12-17
Subject: Global Capacity Centres in Andhra Pradesh
Ministry: ELECTRONICS AND INFORMATION TECHNOLOGY
Asked by: Shri Bastipati Nagaraju, Shri B K Parthasarathi

## GOVERNMENT OF INDIA

## MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY

## LOK SABHA

## UNSTARRED QUESTION NO. 2931

TO BE ANSWERED ON: 17.12.2025

## GLOBAL CAPACITY CENTRES IN ANDHRA PRADESH

## 2931.   SHRI B K PARTHASARATHI: SHRI BASTIPATI NAGARAJU:

Will the Minister of ELECTRONICS AND INFORMATION TECHNOLOGY be pleased to state:

- (a) the number of Global Capacity Centres (GCCs) that have been constructed in tier 2 and tier 3 cities across the country especially in Andhra Pradesh, district wise;
- (b) the total annual revenue generated by GCCs present in tier 2 and tier 3 cities, year and State-wise;
- (c) whether National framework to guide States on promoting GCCs in tier II cities has been framed by the Union Government;
- (d) if so, the details thereof and if not, the reasons therefor;
- (e) whether in the framework Union Government is likely to financially assist States in attracting GCC at tier 1 and tier 2 cities; and
- (f) if so, the details thereof and if not, the reasons therefor?

## ANSWER

## MINISTER OF STATE FOR ELECTRONICS AND INFORMATION TECHNOLOGY (SHRI JITIN PRASADA)

(a) to (f): Government of India is actively promoting the growth of the IT sector across the country. The performance of this sector over the last 5 years and estimates for 2024-25 are mentioned below:

(in billion dollars)

|                  |   2019-20 |   2020-21 |   2021-22 |   2022-23 |   2023-24 |   2024-25(E) |
|------------------|-----------|-----------|-----------|-----------|-----------|--------------|
| Export revenue   |       147 |       152 |       178 |       194 |     199.5 |        224.4 |
| Domestic revenue |        44 |        45 |        49 |        51 |      54.4 |         58.2 |
| Total Revenue    |       191 |       196 |       227 |       245 |     254   |        282.6 |

(E) = Estimate                                                                           Source: NASSCOM

This strong growth momentum has created a favourable ecosystem for the expansion of Global Capability Centres (GCCs) in India. At the same time, GCCs themselves have also contributed to this growth of the IT sector.

India currently hosts more than 1,750 Global Capability Centres (GCCs) with about 2,975 GCC units across the country. Over 220 units are located in Tier-2 and Tier-3 cities which reflects the increasing decentralisation of GCCs beyond metropolitan centres.

These GCCs together generated USD 64.6 billion in revenue during FY 2024 -25.

As per industry's estimate, India's Global Capability Centre (GCC) market is projected to reach USD 110 billion by 2030. The number of GCCs in the country is expected to grow from the current levels to around 2,400 -2,550 by 2030

## Strengthening the GCCs

To further strengthen the GCC ecosystem, the Union Budget 2025 -26 announced the formulation of a National Framework to guide States in promoting GCCs in Tier-II cities.

This framework suggest measures for enhancing the availability of talent and infrastructure, building byelaw reforms, and mechanisms for collaboration with industry.

Several  States,  including  Andhra  Pradesh,  Karnataka,  Telangana,  Uttar  Pradesh  and  Madhya Pradesh, have already notified dedicated GCC or IT/ITeS policies to attract  and expand GCC operations in Tier-2 and Tier-3 cities.

The proposed national framework is intended to act as an enabling and guiding mechanism for States.

Financial incentives for GCCs are implemented through State-specific policies, while the Union Government supports the ecosystem through digital infrastructure, skilling initiatives, and easeof-doing-business reforms.

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