The Indian economy has proved to be resilient with a remarkable recovery post-COVID. The ITeS sector, a vital contributor to both employment and GDP, is also firmly back on the growth track.
While a skilled workforce and lower service costs have helped create a global reputation for the BPO sector, a more liberalized policy framework will only boost Indian BPO performance even further in FY24, helping the country create a competitive advantage. Government support and investment in upskilling talent, creating access to the right infrastructure, and incentives to develop Tier 2 and Tier 3 cities will play a pivotal role.
Incentives and tax breaks for setting up delivery centers in Tier 2/3 cities, training and developing industry-ready talent, and building infrastructure in these towns and cities will go a long way in attracting investment from the BPO sector.
This will drive more equitable growth across the country by boosting the economic development of the region by not just gainfully employing local talent but also creating secondary employment opportunities for skilled and unskilled workforce in the Support and Ancillary industries.
In addition, it would also reduce and even reverse the influx of new talent from small to large cities, helping in the decongestion of the Metros. The Indian economy and industry will both benefit from this.