AP unrest: IT business to be hit

The software lobby Nasscom on Friday expressed concern over developments in Andhra Pradesh in the wake of Justice Srikrishna Committee report over Telangana issue and cautioned that prolonged unrest might hamper business and could lead to jobs being moved to other states.

"Andhra Pradesh has made a huge investment in its infrastructure for promoting IT business in the state and we don't want this to be hampered because of demonstrations and bandhs," Nasscom President Som Mittal told PTI.

If unrest takes place, companies will have to either move to other states or even other countries since everyone wants a safe and stable political and economic environment, he added. Yesterday, Justice Srikrishna Committee, in its report, submitted six options to tackle the demand for a separate state of Telangana.

Hyderabad, which is one of the top five IT-ITeS hubs in the country, could lose the advantage of being a favoured destination if the pro-Telangana strife and uncertainty continue to cripple the city.

"The decision is to be taken by the political parties, but our concern is that there shouldn't be a negative impact during the course of the decision," Mittal said. In 2009, the state saw similar demonstrations and bandhs, demanding separation of Telangana district as a state, crippling the day-to-day life.

"Last time, when these bandhs took place, we saw some jobs being moved out of Vizag. If such uncertainty continues, there would be loss of business and jobs as well," Mittal said. Mittal added that the body and member companies were spoking to the authorities to assess the situation. "The administration is very concerned and has assured us that they are working on it," Mittal said.