CAGR of 4.1% per annum
According to IDC New Zealand’s report entitled "New Zealand Vertical Markets IT Spending: 2010-2015 Forecast and Analysis," New Zealand’s business IT market is to grow from NZ$5.1bn in 2010 to NZ$6.2bn in 2015, at a compound annual growth rate (CAGR) of 4.1% per annum.
The report details IDC’s analysis of the opportunities that exist within twelve industries in the New Zealand IT market and how industry dynamics will shape the adoption of innovation.
IDC had lowered last year’s spending forecast slightly owing to several factors, including the Canterbury earthquakes and current scenario in the global financial markets. New Zealand organisations restarted investing into IT projects in 2011, following a two year break due to the gloomy showing of the global economy.
Louise Francis, senior market analyst, IDC New Zealand, said, "2011 will mark the end of a spending drought for many industries, though we expect the recovery to be patchy and fragile."
Citing the continued volatility of global financial markets, he added, "that many vertical markets will not be putting their foot on the investment accelerator in the short term."
Two verticals, which are expected to show sustained growth, are banking, financial services and insurance (BFSI), and utilities. These sectors, it is expected, would grow by a CAGR of over 5.0% through to 2015.