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Nasscom will wait for another two quarters to decide whether to revise the revenue guidance for the IT industry this financial year.
“We do not have the data yet to revise the guidance,” the Nasscom President, Mr Som Mittal, told newspersons on the sidelines of ‘Surge 2012, Leveraging IT for Growth’, an initiative of Nasscom Emerge.
In February, Nasscom projected 11-14 per cent growth guidance in IT exports for this fiscal; the industry’s revenues crossed $100 billion last fiscal.
Mr Mittal, who got an extension as Nasscom President till 2014, said that markets remain uncertain, but the industry’s fundamentals are strong. The key driver for the industry is that most of the customers are looking for business transformation.
Job creation
Mr Mittal said that last year the industry created 2,00,000 new jobs. However, this year it will create only 1,60,000-1,80,000 jobs — reflecting the global slowdown.
Nasscom members are increasing their presence in countries other than the US and the UK.
However, a lot needs to be done to tap markets such as China and Japan, where Indian IT is yet to penetrate in a big way. Continental Europe, Latin America, Middle East and Asia are all growing opportunities for the IT industry, he said.
Rupee effect
On rupee depreciation, Mr Mittal said that it will help the industry in the long run. However, in the short term, the industry will not gain anything.
“We do not want currency movement to be a profit/loss centre. We need a stable currency,” he said.
On Government policy, the Nasscom president said that “we have to send a message that India is easy to do business with. The Government must support us not in terms of incentives but stable policies.”
Fears unfounded
There have been scepticism, especially in the media, in the recent past that the ‘time is over’ for the Indian IT industry.
“There may be short-term challenges, including global economic turmoil. However, I am optimistic that the industry has the potential to reach nearly $500 billion in a few years,” said Mr K. Natarajan, Vice-Chairman, Nasscom.
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