The Hindu (Mumbai)

‘Tech CEOs see revenue uptick in H2 of FY24 despite headwinds’

- Press Trust of India Jagriti Chandra

State Bank of India (SBI) chairman Dinesh Khara on Friday said that the national lender was in talks with the Reserve Bank of India (RBI) to reduce the cash reserve ratio (CRR) requiremen­t on green deposits.

The country’s largest public sector lender had last month announced a green deposit scheme — a first in the domestic banking — to attract longterm retail deposits to be used only to fund green transition projects or climatefri­endly projects.

Tech CEOs in the country were expecting a revenue growth uptick in the second half of the current fiscal despite continued macroecono­mic headwinds for FY2025, industry apex body National Associatio­n of Software and Service Companies (NASSCOM) said on Friday.

With a roughly 50% slide in tech spending and a 6% decline in tech contracts in 2023 globally, the Indian tech industry, similar to global markets, was currently navigating a tough terrain, stated NASSCOM’s Strategic Review.

Yet, growing at 3.8%, the industry was expected to add $9.3 billion incrementa­l revenue and the total in

SpiceJet promoter Ajay Singh and Sharjahbas­ed aviation company Sky One on Friday submitted competing bids for bankrupt airline Go First.

Mr. Singh, who is the chairman and managing director of the publicly held company that operates the budget carrier, submitted a bid in his personal capacity along with Busy Bee Airways Private Limited, which counts among its largest shareholde­rs Nishant Pitti, a cofounder of the travel booking portal EaseMyTrip. dustry revenue (including hardware sales) was anticipate­d at $253.9 billion in FY2024, the study said.

Brighter future

Rajesh Nambiar, Chairperso­n, NASSCOM, said, “While headwinds like global economic slowdown,

Ajay Singh

The National Company Law Tribunal (NCLT) had on February 13 granted a second extension for Go First’s corporate insolvency resolution process giving it another 60 days until April 4. The committee of creditors would now meet inflation, recessiona­ry fears, and geopolitic­al conflicts continue to pose challenges, we are confident that the industry will bounce back.”

With digital tech spending expected to grow in 2024, the country’s tech sector would also witness to vote on the resolution plan submitted by the bidders, which would then be presented before the insolvency court, said people closely involved with the process who spoke on condition of anonymity.

Mr. Singh’s acquisitio­n of Go First, if successful, would lead to “synergies between the two carriers, leading to improved cost management, revenue growth, and a strengthen­ed market position within the Indian aviation industry,” SpiceJet said in a statement. It added that the airline operator’s role as the “operating partner” for the revived carrier the emergence of alternativ­e demand sources, customer retention, and faster gotomarket strategies in newer markets for enterprise­s, he added.

On her outlook for next year, Debjani Ghosh, President, NASSCOM said, “We do see FY2025 as the year of capability building as the new normal. Navigating the current challenges will require the industry to focus on 4Rs: Reshape, Reskill, Rewire growth and Raise IP and Research & Developmen­t investment­s.” would involve providing essential staff, services, and industry expertise.

SpiceJet had only recently announced costcuttin­g measures to save up to ₹100 crore. The measures included plans to lay off up to 1,400 staff members.

“Go First comes with coveted slots at domestic and internatio­nal airports, internatio­nal traffic rights and a substantia­l user base, which makes it a reliable bet for us,” Sky One’s chairman Jaideep Mirchandan­i said in a statement.

Go First suspended operations in May and approached NCLT for voluntary insolvency resolution.


India’s tech industry, like global markets, is navigating a tough terrain, says NASSCOM

 ?? ?? The tech industry is expected to add $9.3 billion in incrementa­l revenue in FY2024.
The tech industry is expected to add $9.3 billion in incrementa­l revenue in FY2024.
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