Wall Street banks are set to increase their dependence on India’s global capability centers (GCCs) after President Donald Trump’s sudden decision to impose a $100,000 fee on new H-1B visa applications. The move, aimed at protecting American jobs, is likely to accelerate offshoring to India, where global banks already run large-scale operations.
Key Highlights
- Wall Street banks may deepen dependency on Indian global capability centers due to Trump’s $100,000 H-1B fee.
- Fee applies only to new visa applicants; India emerges as a safer, cost-efficient hub for banking operations.
US lenders such as Citigroup, JPMorgan Chase, Goldman Sachs, and Bank of America employ thousands in India, supporting functions ranging from trading and risk management to compliance and technology. Collectively, these centers already account for over 1.9 million jobs in India’s financial and tech ecosystem.
The GCC market, valued at $64 billion, is projected to grow to $110 billion by 2030, with centers expanding from 1,700 to 2,500. Experts say the new visa restrictions could push banks to assign more high-value tasks to India, reinforcing its role as a backbone for international banking.
Also Read: Trump's H-1B Visa Fee Hike Hits India's IT Sector and Job Market
While lenders are cautious given the evolving US immigration landscape, analysts believe the shift is inevitable. With India offering cost efficiency and highly skilled talent, the move strengthens its position as a global financial services hub, supporting technology, innovation, and compliance needs for Wall Street.
