Lucknow Offers Land Incentives For GCC Investors

Uttar Pradesh is moving to strengthen its position in the global services market by proposing major upfront land subsidies for companies establishing Global Capacity Centres (GCCs). The initiative, aligned with the state’s new GCC policy, aims to attract research, technology and analytics investments while nudging urban development towards more inclusive and future-ready growth.

The Housing and Urban Planning Department has asked all 29 development authorities to review how the incentive can be implemented across their jurisdictions. The proposal suggests differential subsidies based on regional priorities: around 30% support in Gautam Buddh Nagar and Ghaziabad major NCR districts with established commercial ecosystems rising to 40% in western districts and up to 50% in Bundelkhand and Purvanchal, which continue to lag behind on economic indicators. A senior official said the government sees land cost assistance as a “starter push” for multinational firms looking at GCC expansion beyond saturated metros. “The aim is to distribute economic opportunity more evenly and encourage knowledge-based employment in emerging cities,” the official noted. GCCs, which function as strategic hubs for research, automation, engineering and financial analytics, have historically clustered around Bengaluru, Hyderabad, Pune and Mumbai due to talent availability and stronger urban infrastructure.

Industry analysts believe Uttar Pradesh’s move signals an ambition to recast its urban centres as competitive, sustainable investment destinations. They point out that balanced GCC distribution could support walk-to-work neighbourhoods, improve local skill development and reduce outmigration from smaller cities. However, they caution that subsidies alone may not suffice. “Infrastructure, public transport, quality housing and climate-resilient planning must evolve simultaneously for GCCs to thrive,” an industry expert said. The emphasis on regions like Bundelkhand and Purvanchal also reflects a broader policy shift towards spatial equity. These districts face chronic infrastructure gaps but hold potential to develop low-carbon, IT-enabled economic clusters if planned with energy-efficient buildings, integrated mobility networks and gender-inclusive employment policies. Urban planners highlight that upcoming GCC campuses could serve as anchors for more sustainable urban extensions particularly if development authorities enforce green building norms and reserve land for accessible public spaces.

The state’s outreach comes at a time when India remains a leading destination for GCC expansion, driven by a vast talent pool and competitive operational costs. With global firms increasing their focus on automation, digital engineering, and ESG-linked operational models, states are competing to offer integrated ecosystems rather than standalone incentives. If the policy is implemented effectively, Uttar Pradesh could witness a gradual shift in where high-skilled employment is generated moving from a few dominant metros to a network of cities that share growth more evenly. Such diversification may also support climate-conscious urbanisation, reducing pressure on megacities while improving economic resilience in smaller regions.

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Lucknow Offers Land Incentives For GCC Investors