Information technology spending by financial institutions is expected to increase by 9.8% to nearly Rs 50,000 crore in 2015, according to research firm Gartner.

“Indian banking and securities companies will spend Rs 499 billion (49,900 crore) on IT products and services in 2015, an increase of 9.8% over 2014 spend of Rs 455 billion,” it said in a note.

 This includes spending by financial institutions on internal IT which includes in-house personnel, hardware, software, external IT services and telecommunications, it added.

“Firms in the industry are investing to strengthen their operational infrastructure to support regulatory needs, as well as sustain increasing demands from the digital channels,” its research director Rajesh Kandaswamy said.

He added that the upcoming entry of 11 payments banks and 10 small finance banks will also help bolster the spends on the information technology products and services.
Source: TOI

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