Information technology has come a long way in India. The great slowdown of 2000 was a meteorite hit for Indian IT sending ripples to entire economy. IT has stablised a lot since then. A Boom in the BPO sector pushed it to a higher level but with a shaky factor of dependency on western outsourcing laws and thinking. According to the Centre for Monitoring Indian Economy, the offshore IT and BPO industries accounted for nearly 95 per cent of the absolute growth in foreign exchange inflows associated with services industries between 2000 and 2004. While total services exports grew by 60 per cent from US$16 billion in 2000 to US$25 billion in 2004, offshore IT and BPO exports tripled in the same period. This indicates somehow an exponential growth after 2005. In 2007 we are in a good position and can sense a stability.
The million dollar question is ” Are we stable enough to sustain this growth for another 5 years?”. I tried to put some facts in front and then answer the question above. Read the rest of this entry »


