Latest news with #NationalAssociationofSoftwareandServiceCompanies
The Hindu
3 days ago
- Business
- The Hindu
NASSCOM delegation discusses Andhra Pradesh's tech vision with Chief Minister Chandrababu Naidu
A delegation of the National Association of Software and Service Companies (NASSCOM) led by its president Rajesh Nambiar met Chief Minister N. Chandrababu Naidu at the Secretariat on Monday. They discussed the vision for positioning Andhra Pradesh (A.P.) as a leading global technology hub through innovation, talent, and infrastructure. Mr. Naidu said in a message on 'X' that Andhra Pradesh was a compelling alternative to saturated hubs, offering a unique advantages for India's growing tech sector driven by Global Capability Centres (GCCs), Engineering, Research & Development (ER&D) and Artificial Intelligence. He stated that the Andhra Pradesh Government's key initiatives that were deliberated include an AI, Quantum and GovTech Innovation Sandbox for real-world pilot testing, a 100K Tech Apprentice Program for bridging talent gaps, a Coastal Cloud & Cyber Corridor for green data infrastructure, and an Andhra - for - Bharat initiative aimed at scaling rural-tech solutions. The NASSCOM delegation comprised vice-president and Head of Membership & Outreach Srikanth Srinivasan, and Head of ER&D, Siva Prasad Polimetla.
The Hindu
3 days ago
- Business
- The Hindu
Regulating India's virtual digital assets revolution
India continues to lead in grassroots crypto adoption, for the second consecutive year in the 'Geography of Crypto' report by Chainalysis (2024). A National Association of Software and Service Companies (NASSCOM) report finds that Indian retail investors poured $6.6 billion into crypto assets and predicts the industry could create over eight lakh jobs by 2030. India also boasts one of the largest and fastest-growing web3 developer cohorts. This vibrancy may seem surprising, given the rocky journey of crypto, known as 'Virtual Digital Assets' (VDA), in India, within the domestic regulatory and policy landscape. In May 2025, the Supreme Court of India questioned the absence of comprehensive and clear crypto regulation in India, with a remark, 'Banning may be shutting your eyes to ground reality'. This observation highlights the dissonance between VDA reality and VDA policy which has created significant challenges for regulators and market players. Navigating India's VDA regulatory gaps India, as a country of strict capital controls and tightly regulated payment systems, has found it difficult to reconcile these frameworks with the decentralised nature of VDAs. The Reserve Bank of India (RBI), as the domestic regulator of monetary policy, began expressing concerns about the potential threats of crypto as early as 2013, highlighting the risks associated with their lack of authorisation from any central bank or monetary authority. Despite this warning, the market saw unassailed growth in India, leading the RBI to issue a second circular in 2018, barring financial institutions from dealing with VDA-related entities. This restriction proved short-lived, with the Court overturning the circular in 2020. The government then turned to prohibitive taxation policies as a stop-gap measure while appropriate regulations were formulated. In 2022, India implemented two key tax policies for VDAs under the Income Tax Act: a 1% tax deducted at source (TDS) on VDA transactions exceeding ₹10,000 under Section 194S and a 30% capital gains tax under Section 115BBH which disallows loss offsetting. Although these measures were designed to enhance transparency and curb speculation, their effectiveness has been limited. Estimates by various industry reports and think tanks show that between July 2022 and December 2023, Indians traded over ₹1.03 trillion worth of VDAs on non-compliant platforms, with only 9% of the estimated ₹1.12 trillion in VDAs held on domestic exchanges. Offshore trading resulted in a loss of ₹2,488 crore in uncollected VDA tax revenue for India. Between December 2023 and October 2024, Indians traded over ₹2.63 trillion on offshore platforms. The cumulative uncollected TDS from offshore exchanges since July 2022 is estimated to exceed ₹60 billion, with the nine blocked exchanges accounting for over 60% of this trading volume. Efforts to block access to non-compliant platforms, such as URL blocking, had limited success. Trade volumes on blocked exchanges rebounded after temporary declines, and web traffic to these platforms rose by 57%. Users continued to bypass restrictions using virtual private networks (VPN), mirror platforms or servers, and by migrating to other non-compliant exchanges. Role of VASPs Guidelines by global standard-setting bodies, such as the International Monetary Fund, Financial Stability Board, and the Financial Action Task Force, converge in favour of comprehensive and risk-based regulation that is harmonised with international standards (a process that is underway). However, these frameworks and regulations rely on domestic, compliant intermediaries or Virtual Asset Service Providers (VASP) that act as the bridge and eyes for regulators. These intermediaries facilitate the alignment of the VDA industry with existing laws and enforcement of policies, and enhance visibility over the ecosystem, while providing crucial inputs concerning on-the-ground issues. In contrast, India's existing policy regime, which inadvertently pushes VDA users to offshore, non-compliant platforms, erodes the country's ability to mitigate the risks presented by VDAs, as well as tax revenues that may have otherwise been collected. In comparison, Indian VASP platforms are sharpening their teeth and maturing rapidly, having shown a willingness to comply with regulations and act in good faith. For example, their collaboration with the Financial Intelligence Unit-India has been instrumental in strengthening anti-money laundering and counter-terror financing controls, earning positive feedback from the Financial Action Task Force (FATF). The aftermath of the devastating hack in 2024, which wiped out $230 million, further showcased proactive measures by Indian exchanges. Many stepped up efforts such as enhancing cyber security measures, setting up dedicated insurance funds in case of future thefts, and uniting to develop and enforce industry-wide cybersecurity guidelines. Need for a framework These possibilities signal the critical role played by VASPs towards a safer digital asset ecosystem. Combined with their contributions to national value creation and economic growth, these platforms present a more viable and constructive channel for funds to flow through under the oversight of Indian regulators. To move beyond the current policy stasis — where tax is levied without meaningful regulation — a balanced, pragmatic and future-proof regulatory framework is necessary. India must take decisive action to create the comprehensive legislation that the crypto industry requires while mitigating associated risks. Urvi Pathak is a lawyer working at the intersection of competition law and technology
The Hindu
23-05-2025
- Business
- The Hindu
Skill development in emerging technologies, TGCHE and NASSCOM ink MoU
The National Association of Software and Service Companies (NASSCOM) has signed a Memorandum of Understanding (MoU) with the Telangana Council of Higher Education (TGCHE) to upskill one lakh learners annually over the next three years in emerging technologies. Along with IT-ITeS sector, NASSCOM will facilitate training programmes for engineering and non-Engineering (all levels) students and faculty from universities, colleges and institutions under the aegis the TGCHE. The MoU was signed in the presence of the Minister for Information Technology, Electronics, Communications, Industries and Commerce Duddilla Sridhar Babu on Friday. The collaboration aims at offering micro-learning content, foundation and deep-skilling courses (both free and paid), and a specialised offline course in 'embedded software development and testing' to build critical digital capability. Mr. Sridhar Babu emphasised the government's role in the growth of Information Technology and Communications (IT&C) sector and to making Hyderabad a 'skill capital.' He said: 'The vision is to empower every graduate with industry-relevant skills.' He also emphasised the ITIs would be transformed into Advanced Training Centres (ATC) providing 100% jobs to all students. TGCHE Chairman, V. Balakista Reddy, highlighted the recent initiatives taken to align higher education with industry demands through comprehensive curriculum reforms at the undergraduate level, ensuring every student is exposed to technology-driven courses in emerging domains. As part of the MoU, TGCHE will encourage universities and colleges to build internal talent pools by motivating students to complete certifications aligning with industry demands. Certified learners will be connected to potential employers via Skill Sector Council (SSC) NASSCOM's Talent Connect, an employment-enabling platform that supports students' transition from learning to earning. CEO, IT-ITeS Sector Skills Council (NASSCOM) Abhilasha Gaur highlighted the contributions made towards the development of the IT industry in India. She outlined the initiatives undertaken by the Council to strengthen skill development across the sector.
Business Standard
08-05-2025
- Business
- Business Standard
Nasscom says India-UK FTA to foster trade, investment, and job creation in both nations
National Association of Software and Service Companies or Nasscom has welcomed the historic and landmark India-UK Free Trade Agreement (FTA). This agreement is a testament to the deepening economic partnership between two global innovation hubs and represents a significant step toward fostering trade, investment, and job creation in both nations. This agreement will catalyse bilateral trade in services, foster cross-border innovation, and generate high-quality employment opportunities for Indian talent. The enhanced ease of doing business and regulatory transparency under this FTA will further strengthen India's position as a trusted partner to the world. Nasscom said it is thankful to both governments for the inclusion of the Double Contribution Convention, which exempts Indian workers temporarily employed in the UK and their employers from paying social security contributions for a period of three years. By eliminating this double contribution burden, the agreement directly addresses a long-standing challenge faced by Indian Technology companies and other service providers operating in the UK. This exemption will not only enhance the access of Indian talent in the UK but also create new opportunities for skilled professionals, enabling them to contribute meaningfully to the UK's dynamic economy. The FTA's focus on digitally delivered services, professional services, and financial services aligns perfectly with the aspirations of the Indian technology sector. It opens up avenues for deeper collaboration in emerging areas such as artificial intelligence, cybersecurity, and digital transformation, while also creating a conducive environment for startups and innovators.
Reuters
24-02-2025
- Business
- Reuters
Indian tech sector seen growing at 5.1% in FY25, Nasscom says
MUMBAI, Feb 24 (Reuters) - India's technology sector is expected to grow at 5.1% this fiscal year, driven by engineering research and development as well as rising global capacity centres, its main industry body said on Monday. The National Association of Software and Service Companies (Nasscom) expects the industry's revenue to grow to $282.6 billion in fiscal 2025 and cross $300 billion in fiscal year 2026. Get the latest news from India and how it matters to the world with the Reuters India File newsletter. Sign up here.
