Indian services sector poised to grow 9.5 pc

New Delhi, Sep 7: A CII Snap Poll of service providers shows that more than a majority feel that the sector is poised to grow at 9.5 per cent or even more, notwithstanding the intense global and domestic pressure, lower profit outlook due to high interest rates and rising wage costs.

As many as 66 per cent of the respondents to a Services Sector poll of CEOs felt that this sector will retain the high growth momentum during the current fiscal. The poll revealed that both investment and employment are expected to increase in the services sector despite pressure on profitability during the current year.

About 97 per cent of the CEOs said they would carry forward their expansion plans relating to their companies and also expected 90 per cent of the firms in their area of business to continue to expand during the current year.

A good 94 per cent of the CEOs expected employment to increase in the health care sector, while 88 per cent felt the jobs will created in the retail segment and 82 per cent visualsied employment to increase in the tourism sector.

About 64 per cent of the CEOs expect employment to increase in financial services, while 66 per cent were hopeful that employment would increase in IT, ITES and the telecom sector.

UNI