Indian IT Companies Keep an Eye on India-Canada Relations, No Immediate Worries

22 Sep, 2023

Indian IT Companies Keep an Eye on India-Canada Relations, No Immediate Worries.

The rising tensions between India and Canada have placed Indian IT companies in a vigilant stance. Nevertheless, experts in the industry are of the opinion that there are currently no immediate reasons for concern.

The escalating tensions between India and Canada have prompted Indian IT companies to adopt a cautious "wait-and-see" approach. Industry insiders, however, have conveyed that there are presently no pressing issues of immediate concern.

Nasscom, a prominent trade association representing the Indian IT sector, has been in close contact with its member companies operating in Canada. According to Nasscom, the feedback received from these companies indicates that there are no immediate areas of concern.

This cautious approach follows an intense diplomatic dispute that unfolded in the wake of Canadian Prime Minister Justin Trudeau's allegations. Trudeau raised concerns about the potential involvement of Indian agents in the killing of a Khalistani separatist in June. India swiftly rejected these allegations, deeming them absurd. In response, India announced the suspension of its visa services in Canada until further notice.

Indian technology companies, including major IT service providers, have established operations and business connections in Canada. They serve various client entities in the country, making significant investments and contributing to job creation. Industry veteran TV Mohandas Pai acknowledges that while there isn't a substantial impact at present, the duration of the current situation remains uncertain.

Pai commented, "There is not much impact at the moment because the tech industry's business activities are continuing. The visa issue may affect the flow, but we must adopt a 'wait and watch' approach to gauge how long the current situation persists."

In summary, Indian IT companies are closely monitoring the evolving situation between India and Canada. While there are no immediate causes for concern, the uncertainty surrounding the ongoing diplomatic tensions warrants continued observation.