Take the pledge to vote

For a better tommorow#AajSawaroApnaKal
  • I agree to receive emails from News18

  • I promise to vote in this year's elections no matter what the odds are.
  • Please check above checkbox.


Thank you for
taking the pledge

Vote responsibly as each vote counts
and makes a diffrence


Issued in public interest by HDFC Life. HDFC Life Insurance Company Limited (Formerly HDFC Standard Life Insurance Company Limited) (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101 . The name/letters "HDFC" in the name/logo of the company belongs to Housing Development Finance Corporation Limited ("HDFC Limited") and is used by HDFC Life under an agreement entered into with HDFC Limited. ARN EU/04/19/13618
Associate PartnerAssociate Partner
LIVE TV DownloadNews18 App
News18 English
News18 » Business
2-min read

Nasscom Defers Annual Growth Forecast to May

Gurnani maintained that for the industry, digital revenue is growing at 1.5 times faster and now constitutes 14 percent of the total revenue stream.

Press Trust Of India

Updated:February 16, 2017, 11:09 AM IST
India IT Export, NASSCOM, World Congress on Information Technology, National Association of Software & Services Companies
(Picture courtesy: Twitter)

The IT industry lobby Nasscom on Thursday said the sector will grow at the lower end of its revised target in fiscal 2017, but deferred guidance for the next financial year by a quarter, as the headwinds rise.

Nasscom President R Chandrasekhar said the association will come out with its guidance for the IT and the business process management sector in the next quarter, most probably in May, which is an unprecedented move, once it is done with "deeper interactions" with customers and other stakeholders.

But he did not quantify the revised number. Nasscom had, it can be noted, revised down its fiscal 2017 revenue growth target to 8-10 percent from an initial 10-12 percent as the headwinds started emerging.

Speaking to reporters ahead of the inauguration of the annual Nasscom India Leadership Forum, he conceded there are headwinds on factors like change in policies in the largest market of US under a protectionist Donald Trump regime. He, however, was quick to add that there are positives as well like analyst estimate of a near doubling of global IT spends to 5 percent from 2.6 this fiscal year.

The guidance to be given in the next quarter will be more "accurate", Chandrasekhar said. Pointing out to the 8.6 percent overall growth in revenue to over USD 155 billion expected this fiscal year, Nasscom Chairman C P Gurnani asserted the sector is still a "growth industry" and has a "good future". He dismissed notions of a jump in uncertainties but said "the rate of change is unprecedented" which is causing the deferment of the outlook for next fiscal.

Gurnani, who heads the fifth largest firm TechM, said the industry lobby could have given a wider target between 6 and 10 percent but has chosen to arrive at a better picture. He said the target will be given by May and added that areas like BPM, product companies, platforms and digital are still growing. He said the revenue stream which may reduce is traditional outsourcing.

Speaking about non-linearity, Gurnani said the number of direct employees has grown 5 percent to 3.8 million this fiscal year as against an 8.6 percent revenue growth. Due to the digital disruption taking place in the technology sector, a massive re-skilling exercise will have to be undertaken and up to 1.5 million employees will have to be re-skilled over the next two0-three years, the body said.

Gurnani maintained that for the industry, digital revenue is growing at 1.5 times faster and now constitutes 14 percent of the total revenue stream.

The software lobby is working on creating a Nasscom Learning Management System in next six months that will crowdsource content and put it in a cloud that can be accessible.

Get the best of News18 delivered to your inbox - subscribe to News18 Daybreak. Follow News18.com on Twitter, Instagram, Facebook, Telegram, TikTok and on YouTube, and stay in the know with what's happening in the world around you – in real time.

| Edited by: Smrithin Satishan
Read full article
Next Story
Next Story

Also Watch

Most Active
Company Price Change %Gain
Infosys 650.60 1.10
Yes Bank 51.20 -1.16
RBL Bank 259.15 -9.69
Reliance 1,392.40 -1.54
Axis Bank 714.85 0.29
Company Price Change %Gain
Infosys 650.75 1.16
Yes Bank 51.25 -1.06
IRCTC 900.40 6.52
RBL Bank 259.25 -9.64
Indiabulls Hsg 206.20 -5.50
Top Gainers
Company Price Change %Gain
HCL Tech 1,095.15 2.88
Eicher Motors 20,521.20 2.71
Maruti Suzuki 7,440.25 2.54
SBI 275.45 1.83
Titan Company 1,348.65 1.44
Company Price Change %Gain
HCL Tech 1,095.65 2.93
Maruti Suzuki 7,439.50 2.55
SBI 275.50 1.87
Hero Motocorp 2,712.25 1.45
HDFC 2,144.50 1.35
Top Losers
Company Price Change %Gain
Adani Ports 396.10 -5.86
Bharti Airtel 360.35 -3.68
Zee Entertain 242.10 -3.33
Vedanta 146.25 -1.94
Grasim 743.15 -1.71
Company Price Change %Gain
Bharti Airtel 360.50 -3.66
Vedanta 146.10 -1.95
ONGC 141.95 -1.53
Reliance 1,392.85 -1.51
Yes Bank 51.25 -1.06

Live TV

Countdown To Elections Results
To Assembly Elections 2018 Results