India's Tech Sector Growth Rate Seen Halving to 3.8% in FY24 - Nasscom

India's technology sector is poised for a slower growth rate in the current fiscal year, with the National Association of Software and Service Companies (Nasscom) projecting a 3.8% increase in revenue to $253.9 billion. This marks a significant slowdown compared to the previous year's 8.4% growth. Nasscom anticipates lower to mid-single-digit contributions across all segments, including information technology, business process management, software products, and engineering research and development.

Software exports, encompassing services and product sales, declined by 3.3% to $199 billion, a notable contrast to the 11.4% growth observed in the preceding year. The sector is expected to witness a net addition of 60,000 jobs, an 80% decrease from the previous year's figure of 290,000.

While uncertainties and delayed decision-making impacted the fiscal, Nasscom highlighted the industry's total headcount growth to 5.43 million from 5.37 million a year earlier. The association did not disclose specific details regarding the geographical or industry-specific distribution of revenue.

Sangeetha Gupta, Senior Vice President at Nasscom, attributed the slowed revenue growth to pandemic-induced delays and a subsequent "correction in spending" after the initial surge in digital investments during the COVID-19 boom. Nasscom President Debjani Ghosh noted a "reversal" of sentiments in 2024, citing a weakening of US recession fears as a contributing factor.

नासकॉम के अनुसार, भारत के तकनीक क्षेत्र की वृद्धि 3.8% में आधा हो सकता है FY24 में।