IT industry confident of new govt's support

India's IT industry today expressed the hope that the new government at the Centre would continue to support the sunrise sector.

"We are certain that the new government at the centre will continue the excellent support to this sector that we have received in the past, both in terms of infrastructure and favourable policies," Nasscom President Kiran Karnik said in a statement.

Welcoming the Congress party's victory, he said "it is noteworthy that amongst the important milestones of India's progress in the IT industry was Rajiv Gandhi's enthusiasm and promotion of the sector."

"Apart from the centre there will be change of leadership in some states too. In looking at these changes, we are greatly reassured by our experience of working with different governments, irrespective of the political parties in power. We have always received strong support and seen great enthusiasm to promote it," Karnik said.

Echoing the same, Infosys CEO Nandan Nilekani said "we are confident that whichever party comes to power, the process of reforms will continue. Indian economy is poised for growth and we are sure that this will be endorsed by whoever forms the government."

"Today all political parties agree that it is of strategic importance to the economy and we are confident that the new government will encourage it," Vinnie Mehta, executive director of Manufacturers Association of Information Technology (MAIT) said.

Meanwhile, exporters today welcomed the outcome of general election and hoped the new government would speed up labour reforms and enhance competitiveness of Indianexports by addressing the issues of high transaction cost and appreciating Rupee.

"Flexibility in labour laws, infrastructure facilities, less volatility in exchange rate and reduction in transaction costs should be looked upon by the new government," Federation of Indian Export Organisations said.

Apparel export promotion council said measures were required to ensure that the export potential of the country was realised. "If China can achieve high growth in garment exports whycan't we grow our static apparel exports," an AEPC official questioned.

He said exporters had been pressing for resumption of income tax benefits for domestic tarrif area units.

Refund of high transaction costs and measures to address appreciating rupee which should be considered top priority by the new government.