SMEs to drive growth in Indian IT sector: Nasscom

The apex body representing Indian IT industry, Nasscom, on Wednesday said that small and medium enterprises (SMEs) would drive growth in the sector and help India maintain its lead globally.

"The SME segment presents a huge opportunity for India to retain its competitive advantage and sustain future growth. They are a significant contributor to the Indian IT industry," Nasscom President Som Mittal said at the Nasscom Emergeout Conclave 2010.

He added that over the last few years, Indian SMEs have built niche products and services, which have helped them grow and compete on a global scale.

Nasscom has also conducted a survey with consulting firm Zinnov to assess the growth factors for these emerging companies.

It showed that over 50 per cent of the companies surveyed expect to grow revenues by over 40 per cent in the ongoing fiscal.

Investment in sales and marketing and expansion into newer areas are the top priorities for emerging companies, it added.