Global Capability Centres (GCCs) have emerged as a cornerstone of the modern enterprise ecosystem, driving innovation, digital transformation, advanced analytics, cybersecurity, product engineering and R&D. India today hosts an estimated 1,700–1,800 GCCs, employing nearly two million professionals and contributing over USD 60 billion annually to the economy. However, this growth remains heavily concentrated in a few Tier-1 metros that are increasingly constrained by rising costs, infrastructure stress and talent saturation—prompting enterprises to look beyond traditional hubs.

Our latest report examines the next frontier of GCC expansion: India’s Tier-2 cities. Based on a primary survey and consultations with 50+ GCC leaders, service providers and real estate developers. Along with the primary research, we have also undertaken a rigorous assessment of 15 Tier-2 cities using a multi-dimensional framework spanning 13 pillars and 43 sub-parameters. The study evaluates factors such as skilling and talent ecosystems, connectivity, Grade-A office supply, technology and start-up depth, policy environment, R&D capacity and urban liveability. The findings reveal that Tier-2 cities vary significantly in readiness some are emerging as credible near-term alternatives for select GCC mandates, while others require targeted interventions to unlock their potential.

The report positions Tier-2 cities not as substitutes for Tier-1 metros, but as complementary nodes in a more distributed, resilient and future-ready GCC network. It also outlines strategic, priority-based recommendations for Governments to strengthen physical & technology infrastructure, deepen talent pipelines, enhance governance & policy readiness and improve urban liveability. For global enterprises, the study offers an evidence-based framework to evaluate emerging destinations; for policymakers, it provides a roadmap for focused and differentiated action to accelerate the next wave of GCC-led growth in India.