H1-B visa suspension by US to have Rs 1,200 crore impact on Indian IT firms: Crisil

Mumbai: Suspension of the H1-B visas by the US will cost domestic IT firms Rs 1,200 crore and have a marginal 0.25-0.30 per cent impact on their profitability, a domestic rating agency said on Monday.

An increase in local hiring over the last few years since the US – the largest market for Indian IT firms – started curbing the visa issuances will help limit the impact on the Indian IT companies now, Crisil Ratings said.

It can be noted that last month, the visas used by Indian tech professionals to work out of the US were suspended by the Donald Trump administration as it looked to arrest the rising unemployment.