NEW DELHI, INDIA — India’s finance and accounting outsourcing sector is undergoing a major transformation, moving beyond basic transactional support to become a strategic innovation hub for global firms.
A report from BW Businessworld cited a new industry outlook for 2026 by Swatantra Bhatia, Partner for Accounting and Outsourcing Services at Forvis Mazars in India.
The analysis argued that the shift in India’s finance and accounting outsourcing sector is being driven by regulatory simplification, technological adoption, and a large talent pool, positioning India as a destination for strategic partnerships rather than just cost savings.
From back office to strategic partner
The core of this evolution lies in the nature of work being outsourced.
“Foreign companies are increasingly establishing captive offshore finance operations in the country, integrating automation, artificial intelligence (AI) and cloud-based systems,” Bhatia notes.
Automation now handles more than half of routine tasks such as invoice processing and reconciliations, freeing professionals to focus on strategic advisory and generating data-driven insights for clients.
This transformation has elevated India from a traditional back office to what the report describes as a “strategic innovation hub.”
The country already hosts nearly half of the world’s global capability centers (GCCs), with numbers expected to rise from 1,800 to 5,000 by 2030, reflecting long-term confidence in India’s outsourcing ecosystem.
Regulatory reforms fuel sector growth
India’s regulatory environment is also enhancing the sector’s competitiveness.
The implementation of GST 2.0 from September 2025 simplified the tax structure to two primary rates, drastically reducing compliance burdens, especially for micro, small and medium enterprises (MSMEs), as the report highlights.
Additionally, the proposed Income Tax Bill 2025 aims to replace the six-decade-old framework with a modern, fully digital system, while liberalized FDI norms are attracting significant capital inflows.
India’s deep talent reservoir remains a strong draw. The country produces around 40,000 new chartered accountants annually and has substantially expanded its pool of Certified Public Accountant (CPA) professionals.
“About 80 percent of employers struggle to find the right professionals, particularly in niche areas like cybersecurity, data analytics and AI,” Bhatia warns of challenges, with only 42.6 percent of graduates considered work-ready. This necessitates significant investment in training and upskilling.
Future outlook: AI, innovation, and transformation
Looking ahead, the report identifies key trends for success in 2026: integrating AI-enabled automation, shifting from transactional outsourcing to comprehensive finance transformation hubs, and leveraging state-specific incentives in sectors like fintech and renewable energy.
For foreign companies, Bhatia concludes, “The decision is no longer whether to establish operations in India, but how swiftly they can capitalize on the current window of opportunity.”
As the sector evolves, India’s finance outsourcing industry is poised not only to deliver operational efficiencies but also to play a central role in driving global finance innovation, setting new benchmarks for the outsourcing world.