Earlier, payments GCCs primarily focused on transaction processing, compliance and support functions. Today, they are strategic hubs for engineering, data science, platform architecture, and global product development.
India hosts over 20 dedicated GCCs of leading global payments companies, employing 35,000 to 50,000 people – roughly 8%–10% of the broader BFSI GCC workforce, as per EY estimates. (Source: AI Image)
India’s growing fintech ecosystem has positioned it among global leaders in the sector, making it an attractive R&D and operations hub for international players. The success of innovations like UPI – which powered over 80% of all digital transactions in India in 2024 – along with robust digital infrastructure, proactive government initiatives, and rise of fintech companies, is accelerating a shift in payments Global Capability Centres (GCCs) in the country. While some global payments companies have already made this shift, others are either setting up GCCs in India or enhancing existing ones to drive global innovation.
From scale to strategic innovation
India hosts over 20 dedicated GCCs of leading global payments companies, employing 35,000 to 50,000 people – roughly 8%–10% of the broader BFSI GCC workforce, as per EY estimates. Over the past five years, headcounts have grown by 40% to 60% for some companies – in some cases, even doubling.
Organizations are rethinking location strategies, and shifting their focus from building scale to acquiring deep tech talent, accelerating product cycles, and establishing a stronger global footprint. For instance, one global payments firm recently opened a tech capability centre in Chennai to tap regional engineering talent for global initiatives.
Earlier, payments GCCs primarily focused on transaction processing, compliance and support functions. Today, they are strategic hubs for engineering, data science, platform architecture, and global product development. Some centres are leading tokenization and fraud detection efforts; others are driving AI-powered risk analytics and next-gen platforms. Teams are contributing to global product roadmaps – particularly real-time cross-border security – while others are designing locally relevant products with global interoperability. One global payments firm has also established its AI and analytics hub in India.
Emerging frontiers of innovation
To evolve into global innovation hubs, payments GCCs must own the entire platform lifecycle. This requires not only engineering talent but also product thinking, design capabilities and full-stack accountability.
Cross-border payments and Central Bank Digital Currency (CBDC) readiness are key investment areas, providing India-based GCCs the opportunity to build compliant, secure and scalable solutions that operate across jurisdictions and currencies. Technologies that reduce cost and settlement time – such as blockchain rails and ISO 20022 migration – are also strategic priorities.
Payments GCCs are deploying AI, robotic process automation (RPA), and low-code/no-code platforms to automate customer onboarding, claims processing and exception handling. With rising transaction volumes and fraud risks, AI-driven anomaly detection, risk scoring and personalization tools are becoming essential. As global standards on data localization, cross-border flows and digital currencies evolve rapidly, regulatory and compliance technology (RegTech) is becoming a priority and where payments GCCs in India can play a key role in managing multi-jurisdiction compliance.
As payments GCCs in India take on strategic roles, demand for talent that blends technology and regulatory knowledge is intensifying. Emerging skill sets include payment architecture, cloud-native infrastructure, API integration, blockchain, digital currencies, customer experience, among others. Therefore, a strong talent pipeline is as crucial as tech investment.
Sustainability is also a growing focus. Beyond innovating for speed and security, GCCs can help shape a responsible financial ecosystem by aligning operations with sustainability goals and developing tools for green lending, ESG data integration and carbon tracking.
Also read: 5 Trends that will Shape Wealth Management Industry in India Ahead
The edge going forward
With the Indian government’s ambition to take the country’s payment systems global, there is growing emphasis on international partnerships. Regulatory changes are enabling this vision and opening new avenues for innovation. For example, a domestic card network is collaborating with international counterparts to enable cross-border transactions. Recently, the Payments Regulatory Board set up by the RBI, enables, for the first time, industry leaders to have a seat at the table in shaping India’s payments regulation.
Payments GCCs in India are rapidly evolving as the country cements its position as a fintech innovation hub and a critical node in global financial services. Cost efficiency, deep talent, a maturing fintech ecosystem, time zone advantages, and enabling policies have powered India’s rise. Going forward, the differentiators defining the next chapter in global payments will be product-first thinking, AI-driven innovation and alignment with global strategic priorities.
Amit Jamdade is Partner – Technology Consulting, Financial Services, EY India and Mitul Jain is Director – Financial Services Consulting, EY India.
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