Uttar Pradesh Global Capability Centres Policy, 2024: Key features, incentives, and eligibility

Sep 23, 2026

The policy provides financial and administrative support to companies establishing Global Capability Centres in Uttar Pradesh

POLICY AT A GLANCE

Although the policy carries the year 2024, the final framework was notified in May 2025. Its implementation rules are titled the Rules-2025 for the Implementation of the Uttar Pradesh Global Capability Centers Policy, 2024 and were subsequently published by Invest UP.

What is the Uttar Pradesh Global Capability Centres Policy?

The policy provides financial and administrative support to companies establishing Global Capability Centres in Uttar Pradesh. A Global Capability Centre, or GCC, is an operation owned and controlled by a parent company to provide specialised services to that company or its group entities.

Such centres may undertake functions including:
► Information technology and digital services;
► Engineering and product development;
► Research and development;
► Finance and accounting;
► Human resources;
► Data analytics;
► Cybersecurity;
► Supply-chain management;
► Legal, compliance and other corporate support functions.

The policy defines a GCC as a global in-house centre or offshore unit established by a multinational corporation or Indian company and fully owned and operated by its parent. Pure third-party service providers, staffing companies, sales entities and professional-services businesses do not qualify merely because they provide similar services to external clients.

Why was the policy introduced?

India’s GCC sector has evolved from relatively routine back-office operations into technology, engineering, analytics and research centres integrated with companies’ global business strategies. The Uttar Pradesh policy seeks to attract a larger share of these investments by using the state’s labour pool, higher-education institutions, proximity to the National Capital Region and expanding technology infrastructure.

The framework is also intended to encourage companies to establish operations beyond established technology centres such as Noida and Ghaziabad. Its eligibility thresholds and payroll incentives are generally more favourable in other districts, reflecting the objective of distributing skilled service-sector employment more widely across the state.

The policy’s objectives and promotional material should not be interpreted as evidence that the projected investment or employment has already been realised.

What are the main objectives?

The policy seeks to:
► Attract new domestic and multinational GCC investments;
► Encourage existing GCCs to expand their operations in Uttar Pradesh;
► Develop high-value employment in technology, engineering, finance and research;
► Create an innovation network involving companies, start-ups and educational institutions;
► Promote Centres of Excellence and industry-academic collaboration;
► Encourage recruitment and training of students from Uttar Pradesh;
► Support employment outside Gautam Buddha Nagar and Ghaziabad;
► Facilitate continuous operations and regulatory approvals.

The policy also seeks to position Uttar Pradesh as an alternative GCC location to established centres elsewhere in India. These are intended policy outcomes rather than verified implementation results.

Who is eligible?

The policy creates two principal categories.

A unit may qualify by satisfying either the applicable capital-investment threshold or the employment threshold. The employment and investment must relate to the eligible GCC operation in Uttar Pradesh.

The official material also provides for case-specific incentive packages for projects meeting at least one of the following conditions:

• Employment of at least 1,500 people;

• Capital investment exceeding Rs 250 crore, excluding land;

• Foreign direct investment of at least Rs 50 crore;

• A qualifying Fortune Global 500 or Fortune India 500 parent company employing at least 1,000 people in the proposed operation.

Such projects do not receive additional assistance automatically. Any customised package is subject to appraisal and state Cabinet approval.

What financial incentives are available?

Capital subsidy

Eligible units may receive a capital subsidy equal to 25 per cent of eligible capital investment.

• Level-I GCC: maximum Rs 10 crore;

• Advanced GCC: maximum Rs 25 crore.

The subsidy is to be disbursed in seven equal annual instalments, subject to continued compliance with investment and employment conditions.

Land-related support

The policy provides a front-end land subsidy of 30–50 per cent on land allotted by state Industrial Development Authorities or another eligible state government agency. The applicable rate depends on the project location and category.

It also provides full exemption or reimbursement of stamp duty on the purchase of land or office space, subject to the prescribed bank guarantee or post-commencement reimbursement mechanism. The operative benefit must be confirmed from the applicable government order and implementation rules before a transaction is completed.

Interest subsidy

Eligible units may receive an interest subsidy of 5 per cent on term loans, capped at Rs 1 crore a year for five years. The implementation rules require supporting loan and interest documentation for a claim.

Operating-cost subsidy

The policy provides reimbursement equal to 20 per cent of specified operating expenditure, including:

Office lease rent;

Bandwidth expenses;

Electricity charges;

Data-centre and cloud-service costs.

The annual ceiling is:

Rs 40 crore for a Level-I GCC;

Rs 80 crore for an Advanced GCC.

The subsidy is available for five years, subject to the eligibility, documentation and annual claim conditions prescribed under the policy.

What employment incentives are available?

Payroll subsidy

The payroll subsidy reimburses part of the salary paid to qualifying on-roll employees who maintain the required continuous employment.

For units in Gautam Buddha Nagar and Ghaziabad, the indicative rates are:

For units in other districts:

The overall annual payroll-subsidy ceiling is Rs 10 crore for a Level-I GCC and Rs 20 crore for an Advanced GCC. The official policy page contains an apparent inconsistency in its third-year Gautam Buddha Nagar and Ghaziabad description, referring to both 25 per cent and 30 per cent. Applicants should follow the notified policy text and implementation rules rather than relying solely on the website summary.

Recruitment of fresh graduates

An eligible GCC may receive Rs 20,000 for each qualifying fresher who:

• Is domiciled in Uttar Pradesh;

• Has graduated or completed postgraduate study at a recognised Uttar Pradesh institution;

• Is being recruited for a first job;

• Remains employed for at least one year.

The unit must recruit at least 30 such employees annually. The incentive may be claimed for five years from the commencement of operations.

Employees’ Provident Fund reimbursement

The policy provides full reimbursement of the employer’s Employees’ Provident Fund contribution for women, Scheduled Caste, Scheduled Tribe, transgender and persons with disabilities who are domiciled in Uttar Pradesh.

The reimbursement is capped at Rs 2,000 per employee per month and Rs 1 crore per unit annually for three years.

What training and innovation support is available?

An eligible unit may receive reimbursement equal to 50 per cent of internship expenditure, capped at Rs 5,000 per intern per month. The support covers up to 50 interns annually for three years, and an internship must generally last at least two months.

Skill-development assistance is available at:

Rs 50,000 per employee towards eligible course fees; or

50 per cent of the cost of conducting an eligible training programme.

The benefit covers up to 500 employees and is capped at Rs 50 lakh annually for three years.

The policy also includes:

► Support for establishing Centres of Excellence;

► Reimbursement of 50 per cent of approved proof-of-concept expenditure involving start-ups;

► Patent-cost reimbursement of up to Rs 5 lakh for a domestic patent and Rs 10 lakh for an international patent.

The Invest UP policy page states a lower Rs 50 lakh annual ceiling for proof-of-concept assistance, while another official policy summary refers to a ceiling of Rs 2 crore annually. This discrepancy should be resolved from the final notified text and the implementation rules before a claim is prepared.

How can an applicant access the benefits?

Invest UP is the nodal agency. The Rules-2025 set out the appraisal, approval, verification and incentive-disbursement framework.

The broad process involves:

• Submission of a project application to Invest UP;

• Verification of the GCC’s ownership, business activity, investment and employment;

• Classification as a Level-I or Advanced GCC;

• Appraisal of the proposed incentive package;

• Issue of a Letter of Comfort after approval;

• Commencement or expansion of operations;

• Submission of incentive claims with expenditure, payroll, provident-fund, training and other supporting records;

• Verification and annual disbursement.

The rules require documentary evidence specific to each incentive, including loan statements, payroll records, Employees’ Provident Fund filings, employment evidence and training-completion reports.

A GCC claiming benefits under this policy cannot ordinarily claim incentives for the same project under another Uttar Pradesh policy. Approved incentive packages are, however, protected in accordance with the policy and implementation rules.

Implementation and progress so far

The policy was notified in May 2025, and Invest UP subsequently held a GCC conclave in June 2025 to present the framework to potential investors. Implementation rules were later issued to govern applications and incentive claims.

Invest UP states that more than 40 GCCs were already operating in Uttar Pradesh when it presented its technology-sector profile. This figure describes the state’s existing GCC base and must not be treated as the number established or approved under the 2024 policy.

No consolidated official data were identified on:

Applications received under the policy;

Letters of Comfort issued;

Level-I or Advanced GCCs approved;

Incentives sanctioned or disbursed;

New investment realised;

Employment generated specifically under the policy.

How does the policy support Uttar Pradesh’s wider economic strategy?

The policy extends Uttar Pradesh’s investment framework from manufacturing and physical infrastructure into high-value corporate services, engineering, analytics and research. Its stronger incentives outside Gautam Buddha Nagar and Ghaziabad are intended to encourage technology-led employment in other cities.

The policy also complements the state’s information technology, data-centre, start-up and business-park frameworks. However, a company must independently satisfy the eligibility rules of the GCC policy, and overlapping benefits cannot be assumed merely because a project falls within more than one sector.

Key challenges and limitations

Complex incentive administration:Payroll, operating-cost and employee-category subsidies require extensive annual documentation.

Dependence on skilled labour: Locations outside the National Capital Region may need stronger university-industry links, transport and urban services to attract and retain specialised workers.

High employment thresholds: Smaller captive operations may not qualify even if they perform advanced functions.

Official inconsistencies:Differences in the published payroll and proof-of-concept provisions require clarification from the final policy and implementation rules.

Limited outcome disclosure: Official data do not yet show policy-specific approvals, employment or disbursements.

What businesses should keep in mind

A prospective applicant should establish whether the proposed operation is genuinely captive to a parent or group company and not a third-party outsourcing business.

It should also verify:

• The correct GCC category;

• Whether investment or employment will be used to establish eligibility;

• District-specific thresholds;

• Eligible capital and operating expenditure;

• Employee domicile and continuity requirements;

• Treatment of existing operations and expansion;

• Restrictions on incentives under another state policy;

• Documentation required under the Rules-2025;

• Current clarifications on inconsistent incentive provisions.

• Eligibility and benefits remain subject to the notified policy, subsequent amendments, applicable government orders and approval by the competent authority.

FAQs
What is the main purpose of the policy?
It seeks to attract captive corporate technology, research, finance and support operations to Uttar Pradesh.

What is the minimum investment for a Level-I GCC?
It is Rs 20 crore in Gautam Buddha Nagar and Ghaziabad and Rs 15 crore in other districts. A unit may alternatively qualify through the prescribed employment threshold.

What is an Advanced GCC?
It is a larger eligible operation meeting the higher investment or employment threshold specified in the policy.

Does a third-party outsourcing company qualify?
Not merely on the basis of providing technology, staffing or professional services to clients. The eligible centre must be owned and operated by its parent company as a captive operation.

What capital subsidy is available?
The subsidy is 25 per cent of eligible capital investment, capped at Rs 10 crore for a Level-I GCC and Rs 25 crore for an Advanced GCC.

Which agency implements the policy?
Invest UP is the nodal agency.

How long is the policy valid?
It remains in force for five years from its notification date, unless amended or replaced earlier.

Conclusion

The Uttar Pradesh Global Capability Centres Policy, 2024 combines capital and operating-cost assistance with substantial employment, training and innovation incentives. Its differentiated thresholds and payroll support are designed to encourage investment both within and beyond the established Noida-Ghaziabad technology cluster.

The framework is detailed, but access to benefits depends on strict classification, employee-level evidence and annual verification. The principal measures of progress will be approved GCCs, investment realised, skilled jobs created outside the National Capital Region and incentives actually disbursed.

Sources:

• Uttar Pradesh Global Capability Centres Policy, 2024, Infrastructure and Industrial Development Department, Government of Uttar Pradesh; notified in May 2025.

• Rules-2025 for the Implementation of the Uttar Pradesh Global Capability Centers Policy, 2024, Government of Uttar Pradesh; uploaded by Invest UP on March 14, 2026.

• UP GCC Policy, 2024 — policy page and incentive summary, Invest UP, Government of Uttar Pradesh; last updated June 3, 2026.

• Uttar Pradesh notifies Global Capability Centres Policy, 2024, Invest UP, Government of Uttar Pradesh; May 6, 2025.

• Global Capability Centres introduction and policy overview, Invest UP, Government of Uttar Pradesh; June 2025.

[The Business Standard]