However, the industry would be able to meet the $60 billion target for 2010, said Som Mittal, president, Nasscom. He added that it is clear that the financial crisis has impacted the industry and therefore there will surely not be an upward revision.
By how much the growth will go down we would come to know in December after the review comes up. I think it would be minor, by a few percentage points, if at all, he said.
Nasscom has already lowered the growth rate target from 30% to 23-24%. The association in July had forecast revenues of about $50 billion in the year ending March 2009 with a growth rate of 21-24%.
The current financial turmoil in the US is a reality, the IT industry is an integral part of the global economy now. And these events do impact us. We had factored a lot of this in our forecast this year, he added.
Mittal added that the current merger and acquisitions spree in the infotech sector will continue as this is a good time for inorganic growth and valuations have gone down considerably.