The Tamil Nadu government has announced setting up of a fintech hub in Coimbatore at ₹400 crore and Chennai and Coimbatore have the potential to emerge as major centres for Global Capability Centres (GCCs) in the fintech space, said S. Vijayakumar, Additional Chief Secretary, Industries, Investment, Promotion and Commerce Department, Tamil Nadu government.

Addressing through video conference, the participants of the second edition of the GCC Coimbatore Summit, organised in Coimbatore city on Friday by the Confederation of Indian Industry (CII), Mr. Vijaykumar said India has 1.9 million professionals employed in more than 1,700 GCCs and Tamil Nadu has almost 460 GCCs. For every direct job generated by a GCC facility, there are three to four indirect jobs. The nature of these GCCs are also transforming to offer end-to-end process ownership, and research and development.

The attrition among GCCs in Tamil Nadu is 6.5%-7.5%, which is one of the lowest in the country. The State has a dedicated GCC policy that encourages investments across the State. Tamil Nadu is also in the process of positioning itself as a quantum-safe State, he said.

According to Manoj Marwah, OCC Market Leader, India EY, the government is looking at developing GCCs into a $600 billion industry in the country as they currently contribute to 3.5% of the GDP. With more than 75 GCCs, Coimbatore is looking at getting 200 plus GCCs. It has the advantage of positioning itself as a plus one destination in the Chennai, Bengaluru and Hyderabad axis. Coimbatore’s strength is in its ability to attract mid management talent. The big brands that have facilities in Coimbatore can also ramp up their existing centres. The city should also capitalise on its applied engineering abilities, he said.

V. Noushad, chairman of the CII Coimbatore zone, said Coimbatore’s journey as a GCC destination has started as global companies are working from here. It build an ecosystem for growing along with the local industries. The city needs to strengthen its infrastructure and workforce to compete for the next generation of GCCs.