India wants to be BPO/Call center of the world 🌎

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One lesson I learned very early in life is 'never fight this Government'. They have tools and competence, that one can never imagine from a second world country's government with democratic system. When everyone was dead sure that rupee gonna depreciate, just like every other Asian currency, Indian rupee on contrary strengthened. It was all manipulated, USA put India in list of currency manipulators even then RBI didn't budged. So now if government wants to make India BPO hunt of the world, instead of ignoring it as another government scheme, I looked at the topic quite deeply.

Firstly see what telecom minister has to say. 

"We've issued a guideline today that's very extensively liberalising the other service providers' guidelines. The guideline is revolutionary in nature that'll make India a very favourable destination for expansion of voice-related Business process outsourcing (BPO) centres," Ravi Shankar Prasad, telecomunication minister.

"The distinction between domestic and international OSP (Other Service Providers) has been removed. A BPO with common telecom resource will now be able to serve customers located worldwide, including India. It's a major reform that we've taken," he added.

"Remote agents of OSP can now directly connect with the centralised EPABX of the customer using any technology, including broadband, wireline, wireless among other things," said Prasad.

"The BPM industry revenues grew from USD 37.6 billion in 2019-20 to USD 38.5 billion in 2020-21, despite the pandemic. This was largely possible due to the industry's ability to work remotely and majorly enabled by the Government of India's relaxations of WFH requirements under the OSP regime, first temporarily, in March 2020 and then complete reforms under the new guidelines in November 2020," the Ministry said.

MY OPINION

India got largest educated English speaking and cheapest labour rates per hour in the world.


India already have greatest software industry anywhere in the world which has been growing since 1990s to till date. TCS recently overshadowed Accenture as most valuable IT firm on the planet.

Couple all this coming demographic dividend boom and liberalization of BPO industry, I believe BPO will be next big big success of Indian economy.


HOW TO TRADE

My picks are eclercks, First source, hinduja global, tech Mahindra and TCS for upcoming BPO boom. ( consult ur advisor before getting exposure to these names, entry points and position sizing is critical here. )


Akhil Garg

CIO, Garg Capital

akhilgargdps@gmail.com 

Twitter @gargcapital

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.



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