India: Taking a step forward
Despite a change in government and the resignation of Prime Minister Atal
Vajpayee, India's private sector is still bullish that the outsourcing
industry will continue to flourish.
For private sector-led NASSCOM, which count as members heavyweights like
Infosys and Wipro, tomorrow is another economic glory waiting to happen.
A local report quoted a NASSCOM official who expressed confidence that the
post-Vajpayee government will continue positive reforms and support the
outsourcing industry.
Vajpayee's leadership was instrumental in sowing the seeds which catapulted
India as the premier outsourcing destination.
During his tenure, there was a focus on improving the physical and social
infrastructure.
The government also implemented a number of measures that helped the IT
industry, such as easing rules for companies wanting to list on stock
exchanges abroad,liberalizing foreign exchange regulations, and allowing
companies to invest abroad including in acquiring foreign companies
Foreign investors who have set up operations in India are also upbeat
about the new government. Logica CMG, a London-based software developer
which set up shop in India, said it plans to expand further its
operations.
It's hard to say if India's next leader can generate as much progress as the past. Both the IT and BPO industries in
India now generate large employment and attract foreign captial to the country. But those benefits remain constricted to areas like Bangalore and New Delhi
which have risen as outsourcing hubs.
It's up to the next government to extend these positive results to benefit the majority of the population.
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