As the industry faces economic uncertainties and continuous headwinds from the US market, the Indian IT industry’s software exports revenues are expected to grow at 7-8 percent this fiscal (2017-18), which is less than 8-10 percent in the 2016-17 fiscal, the apex Nasscom (National Association of Software and Services Companies) said on Thursday.
“The outlook for the IT industry in fiscal 2017-18 is 7-8 per cent growth in exports and 10-11 per cent in the domestic market as against 10-12 per cent in 2016-17,” the Nasscom said in a statement here.
The total revenue of $150-billion from Indian IT industry includes revenues from BPM (Business Process Management), software products and software services. The contribution by exports is about 80 percent to the revenue, with 60 percent of it from the US market.
The key growth drivers would be digital solutions and niche segments, according to the industry’s representative body the revenue projection was depends on improvements in financial services and high potential in digital business.
“The fiscal year will see growth driven by the modernization of operations for client firms and the adoption of new technologies such as SaaS (Software As A Service) applications, cloud platforms, BI (Business Intelligence), cognitive and embedded analytics as enterprise customers scale digital projects,” the Nasscom asserted.
Regarding the slowdown and job losses fear, Nasscom Chairman Raman Roy told reporters that the industry probably adds 1.3-1.5 lakh jobs during the year as it continued to be a net hirer with the demand growing across its segments for skilled professionals.
“The IT-BPM industry continues to demonstrate a sustained growth index. The industry has reinvented itself and its performance in the last fiscal (FY 2017) showcases how it has focused on building its digital solution offerings through a combination of business model changes and investment in products and platforms,” said Roy.
However, the industry association agreed that it is very important for new and existing talent to learn new things in order to prepare for emerging job roles as it required new skillsets.
“Maneuvering through an uncertain phase over the past year, the industry has maintained its status as a key net hirer in the country and global technology and services hub,” claimed Nasscom President R. Chandrashekhar at the news conference.
“The domestic market is expected to grow faster than the export market in this fiscal, driven by this trend,” added the statement.
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Himani Sharma, From ITvoir News Desk