Indian IT exports not to be hit by Dubai crisis

Software exporters TCS, Infosys and Wipro on Friday said they have little exposure in Dubai and do not see any adverse impact due to the emerging financial crisis there.

While the country's largest software exporter TCS said it has a small operation in Dubai and the exposure is minimal, Infosys, the second largest software exporter, said it does not have any 'material' exposure to Dubai.

Infosys CFO V Balakrishnan told PTI the company gets less than 0.5 per cent revenue from Dubai and most of its contracts are from the private sector.

"There is no material impact on us due to the Dubai world crisis," he said.

Asked if the company would pursue deals even after this emerging crisis, Balakrishnan said, "the company sees creditworthiness of the clients and nature of work. . . so this crisis would not be an influence."

Wipro Technologies the third largest software exporter said it is watching the developments but really does not see any impact on its revenue.

Dubai World, the epicenter of the emerging crisis, is a wholly-owned government venture and as per rules any work in such projects can be undertaken only by the local firms, a senior Wipro official said.

Wipro takes a lot of application development work in Dubai and the Middle East regions and it does not see any impact of the crisis.

Infosys CFO V Balakrishnan said the company gets less than 0.5 per cent revenue from Dubai and most of its contracts are from the private sector.

"There is no material impact on us due to the Dubai world crisis," he said.

Asked if the company would pursue deals even after this emerging crisis, Balakrishnan said, "the company sees creditworthiness of the clients and nature of work. . .  so this crisis would not be an influence."

Just a year after the global downturn derailed Dubai's explosive growth, the city is now swamped in debt. There are fears that conglomerate Dubai World may default on its around $60 billion debt and is seeking postponement of the debt until at least May because of the crisis triggered by real estate slump.