In a statement on the interim budget for 2009, Nasscom, the apex body of the Indian information technology industry, said that being a vote on account budget, the IT industry did not expect major announcements.
It was however good to see continued focus by the government on infrastructure and education. It was also heartening to see the goverbenefits that the government is seeing in adopting IT, through projects like 'Arrow'.
To drive economic activity, the government needs to expedite spending of these allocated funds particularly for IT projects, to stimulate the domestic market.
"We will engage with the new government on specific policy initiatives to sustain industry's growth. However, in the interim there is need for urgently removing the inequities and multiplicity of taxes and procedural issues even before the new government comes in. It is important to free up the bandwidth of companies from these issues so that they are able to better manage the downturn and focus on business. This is also important to ensure India remains a preferred partner to do business in and with," the Nasscom statement said.