Bengaluru: The Karnataka government on Friday unveiled the draft of India's first global capability centre (GCC) policy, aiming at establishing 500 of these centres by 2029 and generating 3.5 lakh jobs.
The policy is expected to contribute $50 billion to the state's economy in the next five years.
"Through this policy, we expect the GCC sector to grow at a compound annual growth rate of 12-14 per cent over the next decade and foresee Karnataka holding nearly 50 per cent of the national GCC market share by 2029," Information Technology and Biotechnology Minister Priyank Kharge declared at the launch of the policy.
The draft policy, a first for the country, is out in the public domain for suggestions, objections and rework by stakeholders and industry leaders.
The final policy launch is expected in the next 30-45 days, Kharge told DH after the event.
The state government has announced a slew of incentives, including reimbursement of internship costs for one lakh interns, over the policy period. Additionally, the state is also considering certain fiscal incentives pertaining to employee cost — including reimbursement of employee provident fund (EPF) contribution.
In a major gesture of support to GCCs coming into co-working spaces, the government is offering to bear the cost of vacant seats for the next three years. The state has also earmarked Rs 100 crore 'innovation fund' to support joint research projects between academia and GCCs.
Karnataka is home to over 570 GCCs, the highest in India, and leads the GCC talent with 35 per cent of the total workforce of the country present in the state. Around 1.2 million workers in the sector currently contribute $22.2 billion to the state's economy.
AI advisory council
Focussing on artificial intelligence (AI), the state government has announced the setting up of an AI Skilling Council which will look into developing a curriculum for it, with participants from the industry.
Additionally, it will also establish a Centre of Excellence (CoE) for AI research in Bengaluru.
‘Beyond Bengaluru’ push
In line with the state's 'Beyond Bengaluru' strategy, the government will establish three 'Global Innovation Districts', with state-of-the-art technology parks. While one of these parks will be located in Bengaluru, the other two will be elsewhere in Karnataka.
Anchor investors in these districts will receive special incentives as well as projects from the Karnataka government.