Despite the hue and cry on the outsourcing issue, business process outsourcing will grow at 50 per cent during the current fiscal, Nasscom President Kiran Karnik said on Tuesday.

The overall IT sector would grow at our earlier projections of 26-28 per cent, while the BPO sector is also set to grow at 50 per cent in 2003-04, he told reporters in New Delhi.

"There are no hiccups in achieving the targets, we are on target as per indications so far," he said.

Software exports grew by 26.3 per cent to touch Rs 46,100 crore (Rs 461 billion) in 2002-03.

For the year 2003-04, Nasscom had projected a 26-28 per cent growth in software and services exports at $12 billion and of this IT services is projected to grow by 17 per cent to touch $8.4 billion, while ITES-BPO is likely to grow by 54 per cent to clock revenues of $3.6 billion.