Indian Government Investing $29 Billion in ICT
DataQuest|August 31, 2015
Indian Government Investing $29 Billion in ICT
The Indian government is investing heavily in ICT to kick-start the growth engine, thereby creating a big business opportunity for all the stakeholders
Onkar Sharma

The Indian government is aggressively spending on ICT in its endeavor to bridge the digital divide in the country so that every citizen can benefit from various government related schemes. All the governments in the last few decades have introduced new tools of ICT to ensure transparency in the government departments and ensure hassle-free services to citizens. ICT is being used for various G2C, G2G, and G2B services. While the UPA government focused a lot on various Mission Mode Projects under the National e-Governance Program (NeGP), the NDA government in Narendra Modi’s leadership has tried to intensify it in the form of ‘Digital India’ program. Efforts by various governments in the center and state have paid off significantly. From online passport to online filing of taxes, IT adoption in government is making a visible impact across various departments.

Considering the huge impact of technology adoption on government transparency and efficiency, the Indian government is spending significantly on ICT. The spend accounts for a huge share in the overall domestic IT buying in the country. As per the findings of research firm Gartner, the government IT spending in India will reach $6.8 bn in 2015, an increase of 5.7% over 2014. This forecast includes spending on internal services, software, IT services, data center, devices, and telecom services. Gartner has taken into consideration all aspects of ICT consumption by the state and national government.

Gartner’s estimate is only for 2015 since the overall government spend is expected to be much higher on various government-led IT deployments under Digital India and Make in India programs. “As per estimates, the union government’s IT spend through Make in India and Digital India programs and others is pegged upwards $26 bn. Today, the government bodies across the country are looking for an array of solutions from mobility to security, converged infrastructure to services, desktops to data centers and cloud. The government buying is at the heart of driving growth for the IT industry in the country,” says Raman Bountra, Business Leader, Government Sales, Dell India.



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August 31, 2015