Chandigarh: The IT and ITES session at the Progressive Punjab Investor Summit 2026 witnessed significant participation from investors, highlighting growing interest in the state’s technology ecosystem. During the session, the Punjab government reiterated its plan to develop Mohali as a Tier-1 IT hub and announced a series of financial and non-financial incentives to promote the IT sector.
Mohali to Become a Leading IT City
Addressing the session, Seema Bansal, Vice Chairperson of the Punjab Development Commission (PDC), emphasized the government’s focus on making Mohali a leading IT city. She outlined key strategies including administrative reforms, collaboration with academic institutions, and the development of robust infrastructure. Bansal also noted that several manufacturing industries in Punjab have started integrating AI technologies into their production processes, signaling a digital transformation across sectors.
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Expert Panel Highlights Growth Opportunities
The expert panel included Bimal Deep Singh from Infosys, Manipal Dhariwal, CEO of NetSmartz, and Baljit Singh, Chairman of GURU NANAK DEV GLOBAL UNIVERSITY. The panelists shared insights on emerging trends, innovation in IT and ITES, and investment opportunities in Punjab.
Dhirendra Kumar Tiwari, Additional Chief Secretary (Information Technology), also outlined the incentives available under the Industrial & Trade Development Policy 2026.
Attractive Financial Incentives for IT and ITES Units
The government announced a host of financial incentives to attract investors:
- SGST Reimbursement: IT and ITES units will receive 75% net SGST reimbursement for 10-15 years.
- Employment Subsidy: A ₹5,000 per employee per month subsidy for five years to encourage job creation.
- Capital Subsidy: Up to 20% of fixed capital investment, with a maximum cap of ₹10 crore.
- Electricity Duty Exemption: 100% waiver on electricity charges for 10-15 years.
Special Package for Global Capability Centers
To attract Global Capability Centers (GCCs), the state government introduced a dedicated package:
- First 10 GCC units will receive a ₹7,500 per employee per month employment subsidy for five years.
- Rental Subsidy: IT units will get ₹7 per sq.ft., and GCC units ₹10 per sq.ft. for five years (applicable for at least 100 seats).
Data Centers and Non-Financial Incentives
The government also offered support for data centers and eased regulatory processes:
- Stamp Duty Exemption: 100% for data centers.
- Power Security: Dual power grid facility available on demand.
- Approval Timeline: Investors can expect approvals within 5 to 45 working days.
- IT Parks Benefits: Exemption from Punjab Apartment & Property Regulation Act (PAPRA) 1995, flexible setback rules, and unlimited Floor Area Ratio on 45-meter roads.
Boosting Punjab’s IT Ecosystem
With these incentives and a strategic focus on Mohali as a Tier-1 IT hub, Punjab is positioning itself as a top destination for IT and ITES investments in India. The combination of financial perks, infrastructure support, and regulatory ease is expected to accelerate technology-driven growth and create substantial employment opportunities in the state.
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