IT analysts in wait-and-watch mode as experts see mild recession in the US

Analysts predict that if a slowdown does happen by 2022-end, the impact will be seen only in second half of FY23

With the recession word again making rounds in the US and with Nomura Holdings saying that America will likely fall into a mild recession by the end of 2022, IT analysts tracking client budgets believe that the Indian IT services industry may see some impact only in the second half of this fiscal.

The US is the largest market for the $227 billion Indian IT services industry. The revenue contribution from America is about 70 per cent for several IT services firms.

“It’s bizarre, but at this time we do not see clients pulling back on spending. That said, we