UP puts in implementation framework to operationalise GCC Policy, NASSCOM representative to be part of initial screening body
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To set its Global Capability Centre (GCC) Policy rolling, Uttar Pradesh government has announced a technical study group (TSG) headed by the additional chief executive officer of Invest UP, key state government officials and representatives from the department of information technology and electronics, industry body NASSCOM and Software Technology Parks of India (STPI) as members to carry out the initial scrutiny of the applications to set up GCCs in the state.
The Uttar Pradesh GCC Policy Implementation Rules-2025 cleared by the State government on January 7 gives a 30-day deadline for TSG to make its recommendations and the Chief Executive Officer of Invest UP to issue an Acknowledgement Certificate to the applicant.
TSG’s primary responsibility is to ensure that the application conforms to the GCC policy framework of the UP government. Third-party BPO, KPO, or outsourcing companies that provide services to more than one client are outside the purview of UP’s GCC definition.
One of the attractions of eligible Level-1 and Advanced GCC units will be a front-end land subsidy on land allotted by state industrial development authorities, urban local bodies, or any other government agency. While 30% land subsidy will be provided in Gautam Buddh Nagar and Ghaziabad districts, it is 40% in the Western region (excluding Gautam Buddh Nagar and Ghaziabad) and the Central region. For units choosing the Eastern and Bundelkhand regions to establish GCCs, the land subsidy is 50%.
January 2026
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Advantages for companies setting up their GCCs in UP
The state government’s GCC policy offers all eligible units 100% stamp duty exemption reimbursement on the purchase or lease of land or building for the proposed project. Similarly, Level-1 category units will be eligible for a capital subsidy of 25% of their verified eligible capital investment (ECI), subject to a maximum of ₹10 crore per year and advanced category units will be eligible for a capital subsidy of 25% of their verified eligible capital investment (ECI), subject to a maximum of ₹25 crore per year. An interest subsidy at the rate of 5% or the actual interest paid, whichever is lower, will be provided on term loans obtained by any eligible GCCs for construction, purchase of plant and machinery, and establishment of other infrastructure facilities at the project site. This subsidy will be provided for a maximum period of five years from the date of commencement of commercial operations, up to a maximum of ₹1 crore per unit per year.
Once the GCCs commence operations, Level 1 units will be provided a subsidy at the rate of 20% on operating expenses for a period of 5 years, up to a maximum limit of ₹40 crore per year, and this subsidy will be provided to advanced units up to a maximum limit of ₹80 crore per year. Operating expenditure items will include lease rent, bandwidth expenses, data centre cloud service costs, and electricity charges.
The government expects the policy, supported by well-defined standard operating procedures (SOPs), to significantly boost investment inflows and generate large-scale employment in the state. According to officials, 21 companies have already begun investing under the GCC framework in the current financial year.