ICT contributes US$ 213m to national economy

Hiran H.Senewiratne

Information Communication Technology (ICT) is the fifth largest export earner contributing US $ 213 million to the national economy and has the potential to reach the US $ one billion revenue bracket within the next five to seven years.

Mano Sekaram presenting the report to Minister Prof G.L. Peiris at the event. Vice Presidents Sri Lankan Association of Software and Service Companies (SLASSCOM) Ravi Abeysuriya and Dinesh Saparamadu look on. Picture by Sumanachandra Ariyawansa

“With these developments Sri Lanka is rated among the top 20 destinations for outsourcing and the fifth best country for financial accountants in the global arena,” Chairman-ICT advisory Committee Mano Sekaram said.

The Export Value Survey Report was presented to the Export Development and International Trade Minister Prof G.L. Peiris at the event.

The objective of the survey was to quantify IT industry’s contribution towards the national economy. Hundred and seventy-eight companies were used for the survey.

Sekaram said today there are more than 178 IT/IT Enabled Companies (ITES) in the country and the perceived growth rates within existing markets for IT and ITES companies are 23 percent providing direct export employment opportunities for more than 13, 850 persons in the country.

He said that some of the key findings of the survey revealed that there are 90 small companies, 36 medium sized companies and 11 large companies in the IT industry. The largest contributors to revenue were the large companies with 48 percent of the total industry revenue followed by 36 percent by the medium sized companies. ITES industry consists of 22 small companies, five medium sized companies and seven large companies. Similar to the IT industry, the largest contributor to revenue with 75 percent were the largest companies.

Minister Peiris said the ITC industry is a 100 percent-valued addition intangible export product and could reach the US$ one billion revenue mark within the next five to seven years.

“The concept of out sourcing is one of the popular factors, which has enabled companies to enter into contractual agreements,” he said.