Finance minister Nirmala Sitharaman promises government support to power GCC growth
NEW DELHI: India's Global Capability Centres (GCCs) could add up to $200 billion to the economy and generate thousands of jobs by 2030, FM
Nirmala Sitharaman
said as she promised government support to power growth of GCCs.
FM emphasised how the government has been working on reducing approval timelines, enhancing tax certainty including on Advance Pricing Agreements and integrating administrative support across ministries. Sitharaman backed greater investment in Tier 2 and Tier 3 cities and showcased models such as the GIFT City as examples of regulatory facilitation. "India must not lose this opportunity," she said.
FM said the sector has grown at a CAGR of 11 per cent over the last five years, stating that one new GCC was being established every week in 2024.
While speaking at the CII-GCC Business Summit, she noted that nearly 50 per cent of Fortune 500 companies now have their GCCs in India as operating costs in India are 30-50 per cent lower compared to the UK, the US, and Australia. "There are about 1,800 GCCs currently operational in India, employing 2.16 million professionals. This is expected to rise to 2.8 million by 2030 - and I believe that's a conservative estimate," she said.
Stay informed with the latest
business
news, updates on
bank holidays
and
public holidays
.
AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
22 minutes ago
- Time of India
Two more zones privatise waste collection
Chennai: Solid waste collection in two more zones — Tondiarpet and Anna Nagar — will soon be privatised, said Greater Chennai Corporation (GCC), citing complaints of open dumping, poor garbage handling, and irregular waste collection in these areas. With this, waste-handling in 14 of 15 zones in the city will be done by private parties, Ambattur being the exception. According to officials, the contractor will be selected through tenders and evaluated based on 43 key parameters. These include door-to-door collection, street sweeping (both manual and machine-based), transporting waste from bins, clearing garbage hotspots, cleaning canals and riverbanks, removing animal carcasses, and special cleaning in slum areas and burial grounds. Contractors will also need to maintain litter-free roads and conduct mass cleaning drives. A recent study submitted to GCC pointed out several challenges in Tondiarpet and Anna Nagar. These include high population density, mixed land use, industrial waste, narrow streets, and lack of space to place garbage bins. You Can Also Check: Chennai AQI | Weather in Chennai | Bank Holidays in Chennai | Public Holidays in Chennai The city generates around 1,784 tonnes of waste daily from these two zones alone. This is expected to rise to 2,000 tonnes by 2032. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like I'm closing my shop! Last chance to enjoy 80% OFF my jewellery! Wendy Clarke Shop Now Undo To improve public awareness, the contractor must also conduct awareness campaigns in schools and colleges on waste segregation and home-level bio-waste processing. "Garbage collection was irregular here. Privatised zones are doing better, and it's high time the same model is followed in our proximity as well," said S Manickam, a resident of Tondiarpet. GCC will pay the contractor 50% of the project cost upfront. The remaining 50% will be paid based on performance. Officials say similar models in other zones reduced waste management expenses by 20%-30%. Once this move is implemented, only the Ambattur zone will remain under GCC control, while the other 14 zones will be under private management. Deputy mayor M Mahesh Kumar said private contractors are paid based on the amount of waste removed, which has led to better results in those zones. "We noticed a performance gap between GCC-managed and outsourced zones," he said. Current conservancy workers will not lose their jobs. Instead, they will be redeployed as school security staff or other corporation roles. "Most conservancy workers are too old. They do not show up on a regular basis and have no timeline for waste collection. It is appreciated that the corporation is finally privatising the conservancy workers, " said secretary of federation of Anna Nagar Association, V Sandhya.
Economic Times
2 hours ago
- Economic Times
FDI hike in PSBs hinges on RBI review of voting, shareholding norms
The government will decide on increasing foreign investment in public sector banks after the Reserve Bank of India reviews voting rights. Current rules limit foreign investment to 20%. The RBI is reviewing shareholding limits for private banks too. India allows 74% foreign investment in private banks. The government hopes for a strategic sale in IDBI Bank by October. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads The government's final decision on any further increase in foreign direct investment (FDI) in public sector banks (PSBs) is contingent on the Reserve Bank of India's review of norms on voting rights and shareholding limits, people familiar with the matter government is mandated to hold a minimum 51% stake in state-owned lenders, with overseas investment capped at 20%.The RBI is reviewing the existing structure under which voting rights for promoters of private banks are capped at 26% and financial institutions can hold a maximum 15% stake, said the people current norms mandate that promoters of non-state banks should reduce their stake to 26% over 15 years. The shareholding limit is capped at 10% for individuals and non-financial institutions subject to RBI's approval."The regulator has indicated that a comprehensive review of foreign shareholding norms is on," said one of the persons cited. "Let them come out with new regulations, and based on that, we will take a call on allowing increased foreign investment in PSBs."India allows 74% foreign investment in private banks."There is a lot of headroom available to meet the cap on foreign investment in PSBs, so there is no immediate requirement for a change in existing laws," said the official cited government and the banking regulator have received various suggestions, including allowing promoters to retain voting rights proportionate to their shareholding, another government official RBI is in consultation with all stakeholders, including the government, the person said."There is wide interest in the Indian economy and financial institutions because they are well regulated and capitalised, in fact more than some financial institutions in developed economies," he an interview with ET in June, finance minister Nirmala Sitharaman had said that India would welcome more banks."The banking sector here is going through one of the best cyclical phases in which scope for expansion is there," she had said. "They are expanding as well, and there is interest in foreign banks coming into India because they see this expansion."She said the central bank should give its decision on applications, one way or another, within a reasonable government is hopeful of a strategic sale in IDBI Bank by October. The government and Life Insurance Corp. of India (LIC) are looking to divest stakes of up to 60.72% in the May, Japan-based Sumitomo Mitsui Banking Corporation (SMBC) bought a 20% stake in Yes Bank for ₹13,482 crore, in the largest cross-border deal in the Indian banking sector.
Time of India
3 hours ago
- Time of India
FDI hike in PSBs hinges on RBI review of voting, shareholding norms
The government's final decision on any further increase in foreign direct investment (FDI) in public sector banks (PSBs) is contingent on the Reserve Bank of India's review of norms on voting rights and shareholding limits, people familiar with the matter said. The government is mandated to hold a minimum 51% stake in state-owned lenders, with overseas investment capped at 20%. The RBI is reviewing the existing structure under which voting rights for promoters of private banks are capped at 26% and financial institutions can hold a maximum 15% stake, said the people cited. The current norms mandate that promoters of non-state banks should reduce their stake to 26% over 15 years. The shareholding limit is capped at 10% for individuals and non-financial institutions subject to RBI's approval. "The regulator has indicated that a comprehensive review of foreign shareholding norms is on," said one of the persons cited. "Let them come out with new regulations, and based on that, we will take a call on allowing increased foreign investment in PSBs." Live Events India allows 74% foreign investment in private banks. "There is a lot of headroom available to meet the cap on foreign investment in PSBs, so there is no immediate requirement for a change in existing laws," said the official cited above. ET Bureau The government and the banking regulator have received various suggestions, including allowing promoters to retain voting rights proportionate to their shareholding, another government official said. The RBI is in consultation with all stakeholders, including the government, the person said. "There is wide interest in the Indian economy and financial institutions because they are well regulated and capitalised, in fact more than some financial institutions in developed economies," he added. In an interview with ET in June, finance minister Nirmala Sitharaman had said that India would welcome more banks. "The banking sector here is going through one of the best cyclical phases in which scope for expansion is there," she had said. "They are expanding as well, and there is interest in foreign banks coming into India because they see this expansion." She said the central bank should give its decision on applications, one way or another, within a reasonable timeframe. The government is hopeful of a strategic sale in IDBI Bank by October. The government and Life Insurance Corp. of India (LIC) are looking to divest stakes of up to 60.72% in the lender. In May, Japan-based Sumitomo Mitsui Banking Corporation (SMBC) bought a 20% stake in Yes Bank for ₹13,482 crore, in the largest cross-border deal in the Indian banking sector.
