Banks Expected to Continue Offshore Outsourcing Growth

Filed in archive Outsourcing News on March 4, 2007

A recent study conducted by Deloitte points out that the spending rate of banks for offshore outsourcing is expected to grow in the following months. The IT budget of banks in the US as well as in other countries would grow because of their business strategy in outsourcing IT-related functions.

Aside from that, the banks which participated in the said research study revealed that they can save up to 40% when entrusting most IT projects to an offshore service provider. Aside from that, IT Executives from the banking industry showed that 55% of them expect that the cost of offshoring would grow up to 10% while 36% were expecting the cost to remain the same.

The results of the said study implies that the banking industry has a strong trust for the offshore outsourcing strategy. If that is the case then we can expect that security measures for this business strategy to be strong as many banks are realizing its worth.