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Back office operations in India
Active government championship of the software engineering sector, careful adherence
to internationally recognized quality standards and promotion of India’s competitive
advantages have created a significant success story. In 1999, software exports from
India were worth over US$ 2.6 billion, giving the country some 18.5% of the global
customized software market.
Hi-tech parks have been created in rural areas, providing employment, training and
increased amenities to local populations. These parks generate other non-back office
operational businesses and jobs to provide the support services needed by the employees
in the park, including catering, health, accommodation, retail and other services.
This boom in the information technology (IT) industry has now had a ripple effect on
other offshore back office operations, sparking a rise in services such as data processing,
call centres, medical and legal transcription, insurance claims processing, and payroll
and accounting services.
Back office operations in Mauritius
Mauritius decided to build support for an offshore sector and formed a trade support
institution, the Mauritius Offshore Business Activities Authority. The authority upgraded
the Mauritius offshore sector by negotiating double taxation treaties
(now completed with 16 countries), assisting the government in developing an efficient
legal and fiscal framework, and providing a “one-stop shop” for assistance to investors
in creating their offshore business. Subsequent growth in the offshore sector triggered
growth in IT-based services, and thus served as an indirect springboard for growth in
back office operations.
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