Banking and securities industry to grow at 8.6 per cent in India in 2017

IT spending by banking and securities firms in India will grow 8.6 per cent in 2017 to reach $8.9 billion, according to Gartner, Inc. “The Indian banking sector has undergone a transformation. Banks are gradually lowering the number of branches and increasing capability in terms of their existing infrastructure,” said Moutusi Sau, principal research analyst at Gartner. “Despite effects of demonetisation in the banking sector, banks will continue with digital transformation projects,” Sau added.

Demonetisation is the primary reason for the slowdown in the banking and securities market in India. But the effects will be short-lived. IT services will grow the fastest at 13.8 per cent in 2017 followed by software at 13.4 per cent. Firms in the banking and securities industry are investing more in enterprise resource planning, supply chain management and customer relationship management to upgrade their infrastructure.