Growth of IT sector in Indian

Economy
Group No: 3
Akhil Raj 13
Akshay Gharat. -15
Akshay Shetty -16
Aman Mishra -17
Amith Reddy -18
Snehal Thopate -113
INDEX
Introduction
History of IT in India
Development/Investments
Market Size
Government Initatives

Conclusion
References
About Indian Economy

World's sixth fastest growing economy at 8.43 percentage GDP growth rate.
India is a $1.5-trillion economy.
Economy grew by 8.9% in the second quarter of the current fiscal, up from
8.7% a year ago.
India, the second largest growing economy will overtake china as the fastest
growing major economy with a the next five years.
During the period 2010-2011,the annual growth rate of indian IT services
industry has been over 35%.
India is expected to be the worlds faster growing economy by 2018,according
to economist intelligence unit(EIU)
History of IT in India

Born in Mumbai in 1967.

First software export zone SEEPZ in 1973.
500,000 Engineers in country.
I
Development/Invesments

Leading Indian IT firms like Infosys, Wipro, TCS and Tech Mahindra, are
diversifying their offerings and showcasing leading ideas in block chain,
artificial intelligence to clients using innovation hubs, research and
development centres, in order to create differentiated offerings.
For E.g:-
Google (Mumbai 2017);
Fitpass;
Flipkart;
Nasscom Foundation;
 Market Size

Growth rate of 12-14 per cent for FY2016-17

Triple its current annual revenue to reach US$ 350 billion by FY 2025
IT in banking and security firms in India is expected to grow 8.6 per cent year-on-
year to US$ 7.8 billion by 2017.
Indias internet economy is expected to touch Rs. 10 trillion (US$ 146.72 billion) by
2018, accounting for 5 per cent of the countrys GDP
Cross-border online shopping by Indians ( 85 per cent in 2017, 31 per cent to Rs
8.75 lakh crore (US$ 128 billion) by 2018)
The Indian Healthcare Information Technology (IT) market is valued at US$ 1
billion currently and is expected to grow 1.5 times by 2020.
India's business to business (B2B) e-commerce market is expected to reach US$ 700
billion by 2020 whereas the business to consumer (B2C) e-commerce market is
expected to reach US$ 102 billion by 2020.
Government Initiatives

In the Union Budget 2017-18, the Government of India announced the

following key proposals:
The Government of India has allocated Rs 10,000 crore (US$ 1.5 billion) for
BharatNet project under which it aims to provide high speed broadband to more
than 150,000 gram panchayats by 2017-18.
Prime Minister of India, Mr Narendra Modi, has launched the Bharat Interface for
Money (BHIM) app.
The Government of Telangana has signed an agreement with network solutions
giant Cisco Systems Incorporation, to cooperate on a host of technology initiatives,
including Smart Cities, Internet of Things, cybersecurity, education digitisation of
monuments.
The Government of Gujarat has signed 89 MoUs worth Rs 16,000 crore (US$ 2.3
billion) in the IT sector, during Vibrant Gujarat Global Summit-2017.
Trump Effect

Indian IT sector is bracing for the consequences of president Donald trumps

action against outsourcing of jobs.
Trumps action came after two senators of the US legislature proposed a new
law for H1B and L1 visa holders there.
Layoffs in IT companies

Trumps policies automation and outsourcing have led to major layoffs in the
Indian IT sectors
Major Indian Players in the IT sector like TCS, Infosys , Wipro , Tech Mahindra
, HCL , Cognizant and Capgemini are planning to layoffs 56,000 jobs.
Conclusion

Thus in the last two decades, the indian IT industry has contributed
significantly to indian economic growth in terms of GDP,foreign Exchange
earnings and employment generation.
Trumps policies automation and outsourcing have all led to massive layoffs in
the indian it industry but different government initiatives have led to
stabilising the environment also getting the IT sector in india back on its
growth track
References