Points to Ponder
- IT exports stand at $147 Bn by FY2020
- Industry expected to add 205K jobs in FY2020
- MeitY officials: $1 Tn opportunities in IT industry by 2025
NASSCOM made a statement on Wednesday (12 February) that the Indian IT Industry will end this Financial year with a 7.7% increase in revenue by touching $191 Bn mark. National Association of Software and Services Companies has now cited in a study about the tremendous growth of IT Industry.
Though the growth rate was higher by 160 base points from FY19. So, the industry body remained cautiously optimistic about the growth perspective in the coming fiscal year, FY21. NASSCOM discontinued forecasting revenue growth in the last fiscal year as the fast-changing dynamics of the industry being a reason for not presenting these numbers.
Keshav Murugesh, the Chairman of NASSCOM says that “based on what CEOs are saying we will invest in mainly two to three areas”, which will take care of the demand for digital and technological solutions. He also said that despite so much negativity, rising protectionist themes, Brexit and other headwinds, the industry has delivered well.
Nasscom found in a survey that developed markets will continue investing in tech products in the coming years. It is an estimate that in FY20 the industry will add 205K jobs. As a result, the overall workforce of the IT industry will stand at 4.36 Mn.
Trump’s Visit to India
On 24th February, US President Donald Trump is expected to arrive in India. Meanwhile, NASSCOM has urged Trump to acknowledge India’s high skilled talent people besides immigration.
Prediction of Growth
For FY10, NASSCOM predicted a growth rate of 9.2% which clearly highlights how the industry is hit by the amid of economic slowdown in the country. Rajiv Kumar, MeitY joint secretary says that the global software product market in the country is minuscule and it still remains a net importer of software products.
However, he believes that the country has done well in software services and its time to excel in software products segment. It will create a $1 Tn opportunity by 2025 and India has a great chance to tap it.