Lalit Ahuja, Founder and CEO of ANSR, has issued a comprehensive statement regarding the upcoming Union Budget, detailing the strategic measures required to sustain the momentum of Global Capability Centers (GCCs) in India. As the sector continues to mature from cost-saving centers to engines of innovation, industry leaders are looking to the government for policy interventions that ensure long-term competitiveness. For enterprises evaluating strategic decisions for expansion and growth models in this evolving landscape, https://ansr.com/global-capability-center/ provides detailed insights into the GCC value proposition.
Addressing the fundamental requirements for the sector's growth, Lalit Ahuja emphasized the need for a robust fiscal environment. He stated that "For India to convert its strong GCC momentum into sustainable, long-term global investments, the Union Budget must address predictability, competitiveness, and talent enablement. Key policy priorities should include a clear, nationwide tax incentive framework for GCCs, with extended and standardised benefits for IP creation, R&D, and high-end services delivered out of India similar to regimes in Singapore and Ireland to help reverse the trend of incremental offshoring to low-tax jurisdictions."
This perspective underscores a critical pivot in the industry where the focus is shifting towards high-value deliverables such as Intellectual Property creation and Research and Development. By advocating for tax regimes comparable to established global hubs like Singapore and Ireland, the statement highlights the necessity of fiscal incentives in retaining high-end services within India. The call for a standardized framework suggests that predictability in taxation is as vital as the incentives themselves, fostering an environment where global enterprises can plan substantial, long-term investments without fear of fiscal volatility.
Lalit Ahuja further elaborated on the operational hurdles and workforce requirements facing the industry, noting that "Additionally, greater GST clarity on cross-border services through a definitive, uniform framework for inter-company global service transactions would eliminate ambiguity that currently adds to compliance costs and slows scaling. Budget allocations for targeted workforce upskilling and reskilling programmes aligned to GCC demand, particularly in AI, software engineering, data sciences, and cloud, will help build a strong talent pipeline for the 2+ million professionals already employed in India’s GCC landscape."
The emphasis here is on removing administrative friction and future-proofing the workforce. Ambiguity in Goods and Services Tax norms for cross-border transactions has historically been a challenge for multinational corporations operating in India. A definitive framework would streamline compliance, allowing these centers to scale operations more rapidly. Furthermore, the focus on upskilling in emerging technologies like Artificial Intelligence and cloud computing indicates a need to prepare the workforce for the next phase of digital transformation, ensuring that the talent pool remains relevant as GCCs evolve into centers of specialized expertise.
On the subject of regional expansion and infrastructure development, Lalit Ahuja added that "Further, capital expenditure support for scaling GCC centres, including matching support for technology infrastructure and real estate, can accelerate growth in Tier-2 and Tier-3 locations. Collectively, these measures would strengthen India’s value proposition and send a clear signal to global CEOs that the country is committed to being the preferred GCC destination for next-generation capability building." To stay updated on these developments and more stories regarding India's GCC future, follow Lalit Ahuja on LinkedIn.
About ANSR
ANSR is the definitive global leader in establishing and operating Global Capability Centers. With over 175 GCCs established for more than 100 Fortune 500 companies across key innovation hubs in India, Eastern Europe, and Southeast Asia, ANSR combines unparalleled strategic insight, proven execution capabilities, and proprietary technology solutions to help enterprises build and grow their global teams. As pioneers of the GCC as a Service (GaaS) model and creators of the revolutionary 1Wrk platform, ANSR continues to redefine how enterprises achieve operational excellence and accelerate their digital transformation journeys. With over a decade of experience and a team of seasoned GCC experts, ANSR delivers predictable outcomes that enable enterprises to gain competitive advantage through their global capability centers. To know more, visit ansr.com.
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ANSR Global
Clint Thomas
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