Union Budget Reel 2014
Nasscom asks govt. to release Rs. 5000cr. to support IT companies
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To make the dream project of PM-Digital India successful and give it a fillip, Nasscom has initiated to the government to support IT companies by releasing a fund of Rs.5000 crores.
In a half-day session with the Department of Electronics and Information Technology (DeitY), Nasscom created a model on request-for-proposal that would help work out some of the problems IT firms face as procuring IT services is very different from other kinds of procurement. Due to difficulty in getting paid and the onerous nature of the contracts, for over two years, Indian IT companies have stopped doing business with the government.
Digital India is the Modi government's flagship e-governance project that looks to integrate government departments, and ensure services to citizens that can also be accessed electronically. The project is expected to cost 1.13 lakh crore and would need IT industry participation to get off the ground.
The new government is giving Nasscom greater hope that its requests will get a favourable hearing.
