Software services exports up 2.1% to $ 148.3 billion in 2020-21: RBI survey


[ad_1]

Exports of software services, including services provided by foreign affiliates of Indian companies, grew 2.1% in 2020-21 and amounted to $ 148.3 billion, according to a survey by the Reserve bank released Monday.

The RBI has released data for the 2020-2021 cycle of its annual survey of software and computer services exports.

“India’s exports of software services (excluding exports through commercial presence) are estimated at USD 133.7 billion in 2020-2021, registering a growth of 4.0% over the previous year,” said said the RBI.

Foreign affiliates’ software exports through commercial presence, where the United States is a major destination, amounted to $ 14.6 billion in 2020-2021.

“Total exports of software services, including services provided by foreign affiliates of Indian companies, grew 2.1% in 2020-21 and amounted to $ 148.3 billion,” a- he declared.

Computer services and ITES accounted for 65.3 percent and 34.7 percent, respectively, of total software services exports. BPO services were the dominant component of IT services exports (ITES).

In addition, more than half of software services exports were made by limited liability companies.

“The United States was the main destination for software exports, accounting for 54.8%; Europe held 30.1%, almost half of which was in the United Kingdom,” he said.

The US dollar was the primary invoicing currency for software exports with a 72 percent share; the euro and the pound sterling together accounted for 15.9 percent.

The RBI further said that the share of mode 1 (cross-border supply) in India’s software service exports increased further to reach 78.4% in 2020-2021.

This share has increased over the years, from 38.8% in 2002-03 to 64.6% in 2009-10 and to 75.1% in 2019-20, to the detriment of the other three modes of delivery.

The other three modes are – mode-2 (consumption abroad); mode-3 (commercial presence); and mode-4 (presence of natural persons).

For the 2020-2021 cycle of the survey, 6,115 software exporting companies were contacted, of which 1,815 responded, including most of the large companies.

The companies surveyed accounted for 86.5 percent of total software services exports during the year.

(Only the title and image of this report may have been reworked by Business Standard staff; the rest of the content is automatically generated from a syndicated feed.)

Dear reader,

Business Standard has always strived to provide up-to-date information and commentary on developments that matter to you and have broader political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering has only strengthened our resolve and commitment to these ideals. Even in these difficult times resulting from Covid-19, we remain committed to keeping you informed and updated with credible news, authoritative views and cutting-edge commentary on relevant current issues.
However, we have a demand.

As we fight the economic impact of the pandemic, we need your support even more so that we can continue to provide you with more quality content. Our subscription model has received an encouraging response from many of you who have subscribed to our online content. More subscriptions to our online content can only help us achieve the goals of providing you with even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practice the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital editor

[ad_2]

Comments are closed.