India Strengthens Global Hub Status As GCCs Drive Office Growth

India’s Global Capability Centres (GCCs) are entering a transformative phase, shaping not only the country’s office market but also redefining its position as the world’s innovation hub.

With the number of GCCs expected to rise from 1,700 today to more than 2,400 by 2030, revenues surpassing $100 billion, and leasing demand projected to hit 60–65 million sq. ft. in the next two years, the country is witnessing an unprecedented expansion.

According to the latest report by Colliers and the Royal Institution of Chartered Surveyors (RICS), GCCs in India are no longer back-office extensions but integral centres of research, product development, advanced analytics, and artificial intelligence. Their evolving role is creating a profound ripple effect across talent markets, office real estate, and India’s global economic positioning.

From support arms to innovation engines

GCCs were initially conceived as cost-effective extensions for multinational corporations, handling support functions and transactional processes. Over the past decade, however, they have metamorphosed into enterprise innovation engines. Today, GCCs in India manage business-critical operations across sectors, ranging from engineering research and development (ER&D) to digital marketing, cybersecurity, cloud computing, and ESG compliance.

This transformation has been powered by India’s large, skilled workforce and robust digital infrastructure. The country produces over 2.3 million STEM graduates annually, with 120,000+ AI/ML professionals and 185+ dedicated Centres of Excellence in artificial intelligence and machine learning. With such talent depth, India accounts for 16% of the global AI/ML workforce, making it one of the top three talent pools worldwide.

India houses more than half of the world’s GCCs

The report highlights that India hosts over 50% of the global GCC footprint—outpacing hubs like Poland, Brazil, Mexico, the Philippines, and Vietnam. Competitive real estate costs, strong GDP growth, and favourable policy measures have solidified India’s leadership.

Average prime Grade A office rentals in India stand at just $1–2 per sq. ft. per month, a fraction of costs in global markets such as the US, UK, Singapore, or Australia. This rental arbitrage, coupled with talent and policy advantages, has made India the most compelling destination for global firms seeking scalability and long-term cost efficiency.

Fortune 500s bet big on India

The appeal of India’s GCCs is evident from the rising footprint of Fortune 500 companies. Since 2021, they have accounted for 44% of the overall GCC demand. Leasing by these global giants almost doubled between 2021 and 2025, with 11 million sq. ft. of Grade A space taken up in 2024 alone.

Such large-scale commitments from top-tier corporations reaffirm India’s reputation as a premier GCC hub. They also provide long-term stability for the country’s premium commercial developments, ensuring sustained demand in the office real estate segment.

Sectoral diversity reshapes demand

While technology companies continue to anchor GCC demand, the sector’s share has stabilized. In contrast, BFSI, engineering and manufacturing, and healthcare GCCs are witnessing steady growth.

Between 2021 and 2025, BFSI GCCs expanded their share in office leasing from 15% to 27%, driven by demand for risk management, compliance, digital banking, and fintech innovation. Similarly, engineering and manufacturing GCCs grew from 11% to 17% in the same period, leveraging India’s strengths in product design and R&D.

This broadening base highlights a shift from IT dependency to a multi-sectoral model, enhancing resilience and opening new avenues of growth in India’s GCC landscape.

Real estate boom: 60–65 million sq. ft. in 2 years

India’s GCC expansion has a direct and measurable impact on the real estate sector. Leasing by GCCs accounted for 25.7 million sq. ft. in 2024 across the top seven cities, nearly double 2021 levels. Their share in total office leasing surged to 38% in 2024, underscoring their role as primary occupiers of Grade A office stock.

By the end of 2025, GCCs are expected to lease ~28 million sq. ft., representing 40% of the country’s total demand. Looking ahead, leasing is projected to hit 60–65 million sq. ft. during 2026–27—more than double the 2022–23 period.

Such growth will fundamentally reshape India’s office market, with demand concentrated in talent-rich southern cities. Bengaluru and Hyderabad alone anchor more than 60% of GCC leasing volumes, with micro-markets like Outer Ring Road (Bengaluru) and Secondary Business District (Hyderabad) emerging as global hotspots.

Policy momentum fuels growth

Government policies are further strengthening the GCC ecosystem. Historically, incentives under the Special Economic Zone (SEZ) Act and tax breaks for IT/ITeS exports provided a solid foundation. More recently, initiatives like Digital India and Startup India have enhanced the digital ecosystem.

The Union Budget 2025–26 announced a national framework to guide state-level GCC policies. Already, states such as Karnataka, Andhra Pradesh, Madhya Pradesh, and Gujarat have rolled out dedicated GCC incentives, including capital subsidies, plug-and-play infrastructure, and fast-track approvals. Telangana, Maharashtra, and West Bengal are also formulating similar policies, ensuring policy-driven tailwinds for the sector.

Beyond cost arbitrage: building resilient ecosystems

While cost savings remain a critical advantage, India’s GCC success increasingly hinges on building holistic ecosystems that combine talent, real estate, digital infrastructure, and supportive policies.

The report stresses that successful GCCs require more than physical office space. They depend on end-to-end ecosystems that ensure regulatory compliance, scalable IT backbones, employee wellness initiatives, workplace support services, and advanced digital tools such as AI-driven automation and virtual collaboration platforms.

This integrated approach ensures not just operational efficiency but also long-term resilience and competitiveness for multinational corporations leveraging India as a global base.

The road ahead: cementing India’s global leadership

India’s GCCs are on track to scale 1.5–2 times in terms of number, revenues, and workforce by 2030. With over half of the world’s GCCs already located in India, this trajectory positions the country as the undisputed global leader in the space.

However, challenges remain. The report points to the need for greater R&D spending, AI readiness, and regulatory incentives to maintain India’s edge against rising competition from smaller hubs like Poland or Vietnam. Ensuring urban infrastructure keeps pace with demand will also be critical, especially in saturated markets such as Bengaluru and Hyderabad.

Nevertheless, with deep talent pools, affordable real estate, supportive policies, and growing sectoral diversity, India’s GCC story remains compelling. As the next decade unfolds, these centres will not only redefine the contours of India’s real estate market but also establish the country as a cornerstone of global innovation and enterprise transformation.