Hyderabad, June 27: Andhra Pradesh becomes 1st state of nation to exhaust all the seats allocated to it under the India BPO promotion scheme (IBPS) for setting up business process outsourcing (BPO) units in rural areas. The central government had approved IBPS under the Digital India Programme to create 150,000 employment opportunities and promotion of BPO/ITs operations across the country, to secure balanced regional growth of the industry, with an outlay of Rs 493 Crore.
The BPO scheme provides capital support along with special incentives up to Rs 1 lakh in the form of viability gap funding (VGF). The target under the scheme is to create 48,300 BPO seats across states and Union territories (UTs) based on population percentage according to Census 2011.
About 15 companies have proposed to set up BPO centres in Andhra Pradesh, including Karvy Data Management Services and Omega Healthcare.
Uttar Pradesh, the largest state by population, was allotted 8,800 seats under the scheme and 2,830 seats have been allocated to the companies. The response in states such as Jharkhand, Gujarat, and West Bengal has been very poor. Similarly, Dadra and Nagar Haveli, Daman and Diu, Lakshadweep, Andaman and Nicobar Islands and Goa are yet to open their account.
The state was allotted 2,200 seats under the scheme, but with the rising demand from companies to create more seats an additional 850 have been allocated. “The initial seats allotted to Andhra Pradesh have already been filled up. The response has been quite good. There is provision for over allocation in the scheme,” said a Senior Official of Software Technology Parks of India (STPI), the nodal agency for implementing the scheme.
Metro cities such as Bengaluru, Chennai, Hyderabad, Kolkata, Mumbai, National Capital Region (NCR), and Pune, along with their urban accumulation were excluded. Of the total seats to be created, 18,160 allocations have been made in the country, according to the project’s official website.