Factbox
September 08
Gross Domestic Product (GDP)
GDP grew at 7.92 per cent in 2008-09 for the first quarter, agriculture with modest performance of 3 per cent, construction and services sectors have shown little moderation with growth at 11.4 per cent and 10 per cent respectively.
Index of Industrial Production (IIP)
The Index for Industrial Production (IIP) growth was registered at 5.4 per cent in June this fiscal and 5.2 per cent during April-June 2008. The IIP for manufacturing rose by 5.9 per cent in June 2008, and for the first quarter the segment grew by 5.6 per cent.
Inflation Inflation has continued to be at high levels –12.34 per cent for provisional WPI for the week ending August 23, 2008, with high upward revisions in June data.
Exchange Rate
Rupee, which has been in the depreciating mode since May crossed Rs 44 to a dollar in August. As of September 17, 2008, the value was Rs 46.3 to a dollar.
Foreign Direct Investments
The country has received USD 20 billion FDI during January to June 2008, including USD 10 billion in the April-June quarter of 2008-09. The target set for 2008-09 is USD 40 billion. While inflows received in 2007-08 were USD 25 billion, the target for the current fiscal is set at USD 35 billion.
IT End-user Spending
India’s IT end-user spending is expected to grow at a Compounded Annual Growth Rate (CAGR) of 14.8 per cent from 2007 through 2012 to touch USD 110 billion (Rs 484,000 crore) by 2012, as per Gartner.
BPO Attrition Rates According to Hay Group, a global consulting firm, attrition rates in India’s Business Process Outsourcing (BPO) industry are about 8 per cent higher than the national average. Annual staff turnover for Indian BPO stands at 24 per cent, ahead of the country’s average of 16 per cent.
SEZ Investments
Till date, around USD 18.52 billion have been invested in SEZs, generating employment for around 350,000 people, as per statistics from the government’s SEZ site. Investments are expected to cross USD 45.73 billion by December 2009, providing incremental employment to 800,000 people.
Managed IT Services
According to IDC India, the Indian managed IT services market is expected to generate USD 2.78 billion revenue by 2010 as compared to USD 1.17 billion in 2007, indicating a CAGR of 24.9 per cent. The growth will enable India to become one of the fastest growing managed IT services markets in the Asia Pacific region.
Outsourcing of Publishing Services
As per ValueNotes, a research firm, the trend of Indian publishing houses delivering outsourcing services to newspaper dailies is expected to generate USD 120 million by 2012 as compared to the existing USD 35 million. In recent times, various newspapers have outsourced their advertising production jobs to India, though the trend is still at a nascent stage with only few services providers focusing on the segment.
Automotive Engineering Services The Indian automotive engineering services outsourcing industry is expected to grow at a Compounded Annual Growth Rate (CAGR) of 32 per cent by 2012-13. According to Frost & Sullivan, the industry has generated revenues to the tune of USD 500-600 million last year and there is USD 2.2 billion potential outsourcing opportunity in the next two years.
Internet Subscribers
There were 11.09 million Wireline Internet subscribers approximately at the end of March 2008 as compared to 10.36 million at the end of December 2007, registering a growth of 7.08 per cent according to TRAI. This growth rate is slightly less than the growth rate of 7.64 per cent at the end of December 2007. Besides, there were 65.50 million wireless data subscribers at the end of March 2008 (capable of accessing data services including internet through mobile handsets (GSM/CDMA)) as against 57.83 million in the previous quarter.
