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Government IT spending in Singapore will total US$3.2B in 2014: Gartner

Zafirah Salim | Nov. 18, 2014
This forecast includes spending by the government on internal services, software, IT services, data centre, devices and telecom services.

Government IT spending in Singapore will total US$3.2 billion (S$4.15 billion) this year, an increase of 3.2 percent as compared to last year's spending, according to a Gartner report.

Titled 'Enterprise IT Spending for the Government and Education Markets, Worldwide, 2012-2018, 3Q14 Update', this report contains forecasts that provide total enterprise IT spending, including internal spending and multiple lines of detail for spending on hardware, software, IT services, and telecommunications for vertical industries and 43 countries within seven geographies.  

"IT services, which include consulting, implementation, IT outsourcing and business process outsourcing, will be the largest overall spending category throughout the forecast period within the government sector," said Anurag Gupta, research director at Gartner. "Government spending on IT services is expected to grow three percent in 2014 to reach US$1.9 billion, up from US$1.8 billion in 2013 - with the business process outsourcing segment growing 5.3 percent in 2014."

The report also revealed that internal services, which refer to salaries and benefits paid to the information services staff of an organisation, will achieve a growth rate of 2.7 percent in 2014. The information services staff includes all company employees that plan, develop, implement and maintain information systems, according to the report.

Additionally, software will achieve the highest growth rate within spending categories with 10.8 percent in 2014 to reach S$350 million in 2014, up from S$316 million in 2013; and software spending will be led by growth in vertical specific software.

"Singapore is one of the leading countries in adopting an eGovernment roadmap. We expect the government to explore new delivery channels especially through the cloud, 'agile' development methodologies, engaging citizens, and leveraging analytics to monitor overall department performances," added Gupta.


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