TCS says insurance vertical on growth track

India’s largest IT services provider Tata Consultancy Services (TCS) today said that its insurance vertical is on growth track.

N Chandrasekaran, CEO & MD, TCS today at the 24th edition of Nasscom’s India Leadership Forum said: “The insurance sector that was weaker last year is showing growth traction. We also see that BFSI sector will have good traction in FY17 as we had tracked in FY16.” He, however, added that Diligenta will take one more quarter to get back on growth track.

TCS also shared that its BFS vertical grew 15% constant currency year-on-year in CY15 ahead of company growth of 13.5% constant currency year-on-year ending Dec-15.

When asked whether global uncertainty is impacting client budgets he said: “Every macro situation has implications for every industry. But when I speak to clients technology is upfront and central in their discussion, efficiency is important and digital transformation is key.”

HE also added that the company has invested in digital segment and creation of platforms for over four years along with investments in automation and the company has also invested in training and skilling its employee base.

Chandrasekaran also reiterated that the offshoring trend and the skill set advantage that India has will continue. “The use of Indian IT companies, companies from outside are all artificially created. Companies will partner with global corporation to solve business problems. Depending on the problems you will need to have skills sets. It so happens that India has the largest base of skills out of any market in the world and it will conitnue to be so for a long time,” he added.

Chandrasekaran also added that Digital India is a great initiative. “The problems of India can only be solved if technology is put to use,” he added. Despite having burnt its fingers with Passport Seva Project of government of India, TCS today said that it is actively pursuing e-governance projects. “We will be bidding on domestic projects…TCS has invested a lot in the Indian market in mission critical projects…So it is not fair to say that all government projects are bad,” he said.