According to the National Association of Software & Services Companies (Nasscom), the Indian technology industry is expected to exceed the $200 billion revenue milestone, hitting $227 billion in FY22, with a $30 billion increase in sales and an overall growth rate of 15.5 per cent, while adding around 4.5 lakh employment.
As per the industry body's 'Strategic Review 2022,' the industry crossed the $200 billion revenue threshold this year by adding $30 billion in incremental revenue, with double-digit growth in all sub-sectors.
In a video conference, chairperson Rekha M. Menon remarked, "Fiscal 2022 has been a landmark year for the Indian IT industry."
Whereas exports, including hardware, increased by 17.2 per cent to $178 billion in revenue, domestic revenue for the IT industry grew by 10% to over $50 billion.
Nasscom reported that e-commerce grew by 39 per cent during the fiscal year to $79 billion, with the digital revenue share standing at 30-32 per cent, generating $13 billion in incremental revenue in FY22
Factors That Contributed
While exports were a significant driver of revenue in FY22, Nasscom president Debjani Ghosh noted the domestic market was also a significant factor "due to India's tech adoption, with public digital platforms like UPI, Aadhaar, and CoWIN playing a big role in delivering citizen services."
The industry likely added 4.5 lakh new jobs during the year, the highest figure ever, with 44% of those being women.
Nasscom said that despite hurdles such as geopolitics, macroeconomic fluctuations, supply chain interruptions, and the pandemic's fallout, the industry would continue to show grit, resilience, and agility.
More than 70 per cent of CXOs predict FY23 would be another growth year for the industry, as per the Nasscom Tech CEO Survey 2022.
"The recent demand trends on technology spending and economic growth indicates a bright future for technology spending and jobs. The industry has also set an ambitious objective of $350 billion by FY26, with an 11-14 per cent growth rate," it added.