MUMBAI, INDIA: After Finance Minister Arun Jaitley admitted that the Chinese slowdown will impact global economy, software body NASSCOM reiterated that the impact will be felt on the Indian IT services providers as well.
R Chandrasekar, President, NASSCOM, asserted that the currency fluctuation and the slowdown of growth in China may prompt Indian IT software services exporters to control costs, though it will not have a major effect on overall industry growth estimates.
“The growth estimate that we put out is based on constant currency. Volatility does not directly impact the estimation that we have given. It may impact indirectly,” he said.
Chandrasekar however, pointed out that most Indian IT firms have hedging arrangements and the impact would be limited depending on the product mix and the geographies where they are present.