Karnataka has introduced India’s first dedicated Global Capability Centre (GCC) policy. This policy is aimed at creating 3.5 lakh jobs and generating $50 billion in economic output by 2030.
This forward-looking initiative positions the state as a global hub for cutting-edge innovation, workforce empowerment, and sustainable business practices.
The policy emphasises the development of a diverse, future-ready workforce. It prioritises initiatives such as upskilling programmes, mentorship opportunities for women, and support systems for specially-abled employees. Embracing flexible and adaptive work models, it promotes remote and hybrid arrangements to enhance employee well-being and work-life balance.
A key feature of the policy is the ‘Beyond Bengaluru’ initiative. It focuses on decentralising development to emerging cities such as Hubballi-Dharwad, Mysuru, Mangaluru, Kalaburagi, Tumakuru, and Shivamogga. These areas will host new technology and innovation hubs to ensure balanced regional growth. To encourage GCCs to expand into these cities, the state government will offer extensive incentives, including rental reimbursements, tax breaks, and utility subsidies.
Infrastructure development is another cornerstone of the policy. The state will establish three Global Innovation Districts, one in Bengaluru and two in the Beyond Bengaluru clusters. These districts will provide world-class facilities, streamlined regulatory processes, and a collaborative ecosystem that connects startups, academic institutions, and technology leaders.
Karnataka is also set to enhance its leadership in artificial intelligence (AI). A Centre of Excellence (CoE) for AI will be established in Bengaluru, operating on a hub-and-spoke model with academic institutions across the state. This initiative aims to create an ecosystem for AI research and development, foster ethical AI practices, and support AI-focused startups.
The policy includes plans to encourage the development of Nano GCCs, smaller operations employing 5–50 people. These units will benefit from incentives without strict investment or employment thresholds, enabling businesses to adapt to regional needs with greater flexibility.
Under this policy, Karnataka seeks to attract 500 new GCCs by 2029, raising the total number in the state to 1,000.
