Union Budget 2011 impact on IT sector: Angel Broking

The Union Budget 2011-12 was a low key affair for the Software Sector. The Budget did not mention extension of fiscal benefits under the STPI Scheme for Export of Software Services, which is due to expire in FY2011. Plan allocation for School Education increased by 24% to Rs 52,057cr in FY2011-12. This would boost business opportunities for the IT-Education companies in terms of ICT and PPP in K-12 and Vocational Segments. viz. Educomp, Everonn and NIIT Ltd. Overall, the budget was Neutral for IT sector.