The past decade has been one of bonanza for India’s exports of outsourced software and business services. The country’s export revenue from IT/BPO services grew almost three-fold over the pat 10 years, jumping from US$62 billion in 2012 to US$156 billion in 2022.
As demand for digital services keeps rising in the post-COVID era, India (with its large army of tech workers) is ideally positioned to reap rich dividends. NASSCOM, one of the country’s lobby groups, sees revenue from IT and other tech-enabled services potentially reaching US$350 billion by 2026.
Cost effective wages and the easy availability of talent have long been factors behind India’s rise in the global export services marketplace. The tech sector accounts for less than 6% of the country’s GDP but employs as many as 5 million professionals, serving hundreds of deep-pocketed clients such as AstraZeneca, Citibank and Marks & Spencer.
“We are no longer staffing providers. We are strategic partners for global business conglomerates trying to leverage digital technologies,” commented Manjunath Hegde, an IT analyst from Bangalore, a city known as India’s version of Silicon Valley.
In order to chart the country’s journey as a BPO/software outsourcing powerhouse, NSAM drew up the following infographic using data compiled by the Reserve Bank of India.