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Government IT spending in India to reach USD 6.4 Bn in 2013: Report

GartnerThe government’s IT spending in India will reach USD 6.4 Bn in 2013, a 7%  increase in comparison to 2012, says the latest forecast by Gartner.

This includes the spending by the government on internal IT (including personnel), hardware, software, external IT services and telecommunications.

IT services, including consulting, implementation, IT outsourcing and business process outsourcing, will be the largest overall spending category throughout 2017 within the government sector.  Whereas the IT services spending is expected to grow 7.7% in 2013 to reach USD 1.4 Bn in 2013, up from USD 1.3 Bn in 2012. The Business process outsourcing segment is growing by 15.3%, says the firm.

Internal services including salaries and benefits paid to the information services staff (employees that plan, develop, implement and maintain information systems) will grow by 12.8% in 2013.

Software sector will grow by 10.5% in 2013 to reach USD 709 Mn up from USD 642 Mn in 2012.

Gartner also says that a number of large ICT companies in India are increasingly looking inwards and targeting the Indian government ICT market.

Also, the ICT industry will be benefited from various eGovernment projects, which are part of the National eGovernance Plan, like Unique Identification Authority (UIDAI), which aims to work with various partners in setting up infrastructure for authenticating and confirming digital identities for several purposes such as for Aadhar enabled payment systems.

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