IT, ITeS industry growth may fall to 5-year low, says IDC

Indian IT and IT-enabled services industry is expected to grow at 10.8 per cent in 2009, the lowest in the last five years, due to the global economic meltdown, a report said.

But in next four years, it would grow at 13.9 per cent to touch revenue of USD 110 billion, the report by analyst firm IDC India has said.

"In the backdrop of one of the worst ever global financial and economic meltdown, it is estimated that in 2009, the overall India IT/ITeS industry is expected to grow at 10.8 per cent, which is the lowest in the last five years.

"Going forward, the overall IT/ITeS industry is expected to grow at 13.9 per cent (CAGR 2008-2013) to touch over USD 110 billion in 2013," IDC India Country Manager Kapil Dev Singh said in the report.

The total revenue for the Indian IT industry in 2008 stood at over USD 57 billion in 2008.

"The ongoing global slowdown will definitely have its impact on the Indian IT sector. Despite that the industry is still expected to grow at a CAGR of 11.4 per cent by 2013," IDC India Country Manager Kapil Dev Singh said.

The domestic IT and IT-enabled services (ITeS) revenue is slated to touch about Rs 2,06,398 crore by 2013 from Rs 99,254 crore in 2008, growing at a CAGR of Rs 15.8 per cent, the study said.

Agencies