'Obamacare' revamp likely to boost Indian IT sector

Donald Trump's assertion to replace Obamacare with a lower cost and all-citizen inclusive health policy is likely to present huge opportunities to the Indian IT sector.

Obamacare, one of the flagship programmes of the Obama government to improve access to health insurance in the USA, provided health insurance to over 20 million Americans. The policy was criticised for a steep hike in its premium.

The Indian IT companies are highly exposed to the US markets with considerable impact of Obamacare on the Indian IT companies' sales in the US, which constitutes 60 per cent of the export market of the Indian IT sector. Thus, the revamp plans of Trump is likely to open more avenues for the Indian IT sector. Trump's efforts to increase the health insurance purchases through tax credits and expanded health savings account is also likely to have a positive trickle down effect on the Indian IT sector.

Amidst the uncertainties and protectionism ushered in by the revised H1-B regime and a lag in technological advancements, the revamping of Obamacare has brought some optimism in the Indian IT sector.