The current framework in India has three constraints that perpetuate the dominance of the Big 7.

The Indian government is considering major reforms in the accounting and audit sector as it aims to create domestic firms capable of competing with the Big Four—EY, Deloitte, KPMG, and PwC.

According to the Institute of Chartered Accountants of India (ICAI), fewer than 1% of registered accounting firms have more than 10 partners, with only 13 firms exceeding 50 partners.

Despite these small numbers, 459 firms employ about 15% of the workforce of 183,642, including partners and paid assistants, while the top 13 firms account for 7% of total employees.

Interestingly, this is an industry where Indians thrive worldwide, including in the Big 7. Yet, there are no large Indian consultancies that can rival the Big 7. Here, we explore the factors that constrain the emergence of large Indian consultancies to compete globally. Quite apart from the economic case, this is also a national security issue. If all expertise is outsourced, the dependence can be weaponised. In 2023, for instance, it was reported that a Big 7 firm leaked confidential Australian government information to US companies, leading to multiple investigations.

The current framework in India has three constraints that perpetuate the dominance of the Big 7. The first set of challenges relate to government contracts that account for 40 percent of the market. We found that restrictive clauses prevent domestic firms from meeting the eligibility criteria. Excessive balance-sheet thresholds, for example, prevent domestic firms from even competing. Consider a January 2025 request for proposal worth ₹1.3 crore from the industries and mines department of a state government to hire management consultants.

Currently chartered accountant firms in India are not allowed to raise capital via private equity and public issue,” the ICAI president told ThePrint.

ICAI is a statutory body responsible for regulation and development of chartered accountants in the country. The affairs of the ICAI are managed by a 40-member council in accordance with provisions of the Chartered Accountants Act, 1949, and the Chartered Accountants Regulations, 1988. The institute functions under the administrative control of the Ministry of Corporate Affairs.

Access to capital is essential for domestic firms to expand their operations and invest in talent and technology. According to Nanda, discussions are on for a policy that will allow domestic firms to raise capital.

Who Dominates Consulting Globally?

The global consulting and audit industry is currently dominated by seven firms:

The Big-4 audit firms - KPMG, Deloitte, EY, and PwC.

The Big-3 strategy consulting firms - McKinsey, BCG (Boston Consulting Group), and Bain & Company.

Together, these seven firms corner a major share of global contracts, spanning everything from government projects to private enterprise advisory.

In India, too, most large government and private sector consulting contracts tend to flow to these global players. While they bring expertise, this dominance also raises concerns:

Loss of business opportunities for Indian firms.

Data security risks, as sensitive project information flows to global entities.

Dependence on foreign players, keeping India at the lower end of the consulting value chain.

Recruitment will be dominated by technology consulting in FY26. Deloitte plans to hire another 6,000-8,000 people in this vertical. At KPMG, nearly 45 of every 100 new hires in FY26 will be in technology roles. PwC will hire 6,000-7,000 in tech consulting in the fiscal year

Sathish Gopalaiah, president, consulting, at Deloitte South Asia, said the firm had hired over 7,300 people as of April 2025, and by the end of May, that number will be close to 8,000. “Our total headcount will cross  .

By – Aaradhay Sharma