Nasscom predicts IT industry to surpass $ 250 bn, growing by 3.8% in '24

21 Feb 2024 CW Team

The deceleration in growth is evident in incremental revenue addition, which has decreased from $ 19 billion in FY23 to $9.3 billion in FY24. According to Nasscom reports, global tech spending has declined by around 50 per cent, and there has been a 6 per cent decrease in tech contracts in 2023.

Debjani Ghosh, President, Nasscom, expressed the need to reassess the target of $ 350 billion by 2026 based on the performance in 2023 and how 2024 unfolds. Despite challenges, India remains the world's largest sourcing hub, contributing 1 per cent to the country's GDP through digital public infrastructure.

Rajesh Nambiar, chairperson of Nasscom, acknowledged the industry's muted growth in FY24 but highlighted its continued expansion. Despite the economic downturn, the Indian tech industry remains a net hirer, focusing on upskilling. The industry is expected to add 60,000 jobs in FY24, a significant decrease from the 290,000 added in FY23.

The strategic review emphasizes the industry's commitment to spending 60-100 hours per year per employee on upskilling. While hiring numbers may be subdued, the CEO survey indicates improved outlook for both revenue and hiring.

Green shoots in the industry include growth in engineering, research and development (ER&D), global capability centres (GCCs), and artificial intelligence (AI). GCCs are expanding in India, with 53 new additions in 2023. Domestic revenue saw a notable growth of 5.9 per cent, outpacing exports.

Regarding AI, the industry is actively working on it, with over 70 per cent having well-defined frameworks for financing use cases and over 10 generative AI use cases. While there is a ninefold increase in GenAI activity in CY23, the impact on hiring remains uncertain.

Debjani Ghosh noted that, currently, there are no job losses due to AI, but acknowledged the challenge of technological change outpacing the ability to skill people.

The aspiration for the Indian information-technology (IT) industry to reach $ 350 billion by 2026 appears challenging as its growth rate has dropped to a low single digit. It is projected to reach $ 253.9 billion in FY24, growing at 3.8 per cent year-on-year, a decline from the 8.4 per cent in the previous financial year. The deceleration in growth is evident in incremental revenue addition, which has decreased from $ 19 billion in FY23 to $9.3 billion in FY24. According to Nasscom reports, global tech spending has declined by around 50 per cent, and there has been a 6 per cent decrease in tech contracts in 2023. Debjani Ghosh, President, Nasscom, expressed the need to reassess the target of $ 350 billion by 2026 based on the performance in 2023 and how 2024 unfolds. Despite challenges, India remains the world's largest sourcing hub, contributing 1 per cent to the country's GDP through digital public infrastructure. Rajesh Nambiar, chairperson of Nasscom, acknowledged the industry's muted growth in FY24 but highlighted its continued expansion. Despite the economic downturn, the Indian tech industry remains a net hirer, focusing on upskilling. The industry is expected to add 60,000 jobs in FY24, a significant decrease from the 290,000 added in FY23. The strategic review emphasizes the industry's commitment to spending 60-100 hours per year per employee on upskilling. While hiring numbers may be subdued, the CEO survey indicates improved outlook for both revenue and hiring. Green shoots in the industry include growth in engineering, research and development (ER&D), global capability centres (GCCs), and artificial intelligence (AI). GCCs are expanding in India, with 53 new additions in 2023. Domestic revenue saw a notable growth of 5.9 per cent, outpacing exports. Regarding AI, the industry is actively working on it, with over 70 per cent having well-defined frameworks for financing use cases and over 10 generative AI use cases. While there is a ninefold increase in GenAI activity in CY23, the impact on hiring remains uncertain. Debjani Ghosh noted that, currently, there are no job losses due to AI, but acknowledged the challenge of technological change outpacing the ability to skill people.

Infrastructure Urban

26 Aug 2025

REC honoured with ‘Best Design Thinking Award’ at DNA Awards 2025

REC, a Maharatna NBFC under the Ministry of Power, has received the ‘Best Design Thinking Award’ at the 5th Distinguished NBFC Awards (DNA Awards) hosted by Banking Frontiers.The award acknowledges REC’s digital initiatives in Retail Bonds, highlighting the company’s efforts to leverage technology and design thinking to improve customer experience and service delivery.Jitendra Srivastava, CMD, REC, congratulated the finance team for their commitment and contribution towards driving innovation. Harsh Baweja, Director (Finance), along with senior officials, joined in celebrating the reco..

Infrastructure Urban

26 Aug 2025

How India’s Logistics Sector Becoming Smarter, Faster, and Fairer

India’s logistics system, once criticized for being slow and fragmented, is now showing signs of a genuine turnaround. Policy reforms, new infrastructure, and rapid adoption of technology are changing the way goods move across the country. Officials argue the impact will be felt not just in lower costs, but in faster operations and more equitable opportunities for small businesses.Smarter: Digital Innovation Taking HoldThe biggest shift has been digital. Artificial Intelligence (AI), Machine Learning (ML), IoT and block chain are no longer buzzwords, they are now being used on the ground. Fl..

Infrastructure Urban

26 Aug 2025

Hindustan Zinc Charts Multi-metal Future as Cornerstone of 2x Growth Strategy

Hindustan Zinc, a Vedanta Group company and the world’s largest integrated zinc producer, has announced a bold transformation agenda – Hindustan Zinc 2.0 – to evolve from a zinc-and-silver leader into a diversified, multi-metal enterprise powering India’s future growth.Addressing shareholders at the company’s 59th Annual General Meeting, Chairperson Priya Agarwal Hebbar said, “Hindustan Zinc is moving beyond its zinc and silver legacy to become a multi-metal, future-ready enterprise. As demand for critical minerals grows across clean energy, digital infrastructure, and national sec..