Nasscom predicts Information Technology industry growth at 13-15 per cent in fiscal year 2015
ET, five expect Nasscom to say that IT exports will grow 13-15% during fiscal year through March 2015, compared with the 12-14% range for the current fiscal year.
BANGALORE: Software industry lobby Nasscom is widely expected to forecast a pick up in technology services exports in fiscal year 2014-15 on Tuesday, as worldwide spending on outsourcing is set to accelerate through 2015 after two years of slowdown.
Expectations of higher growth forecast come as Nasscom members - which include large software companies such as Tata Consultancy Services, Infosys, Wipro and HCL Technologies - have indicated an increase in client spending this year.
Of the seven analysts polled by ET, five expect Nasscom to say that IT exports will grow 13-15% during fiscal year through March 2015, compared with the 12-14% range for the current fiscal year.Two analysts said they expect the industry body to maintain its forecast.
"Assuming better constant currency global IT services growth in CY14. Also market share pull by Indian IT vendors is likely to be higher than last year due to greater re-bid deal pipeline," said Apurva Prasad, analyst at Mumbai-based equity research Bonanza Portfolio.
Based on commentary from the top companies, Prasad expects there will be improved opportunities for "new scope" deals also, as discretionary spending picks up. "But any significant rupee strengthening post electoral outcome may pose margin challenges."
Every year, Nasscom compiles forecasts from member companies by January, and polls top analysts before announcing annual growth projection for the upcoming fiscal year in February.
"At this point, it would be fair to say qualitatively we certainly expect 2014 to be a better year," Nasscom president R Chandrashekhar had said last month. He, however, cautioned that there "would not be a dramatic step-up" in growth.