IT Ministry Waives 4-months Rent For IT And ITes Companies Working Out Of Technology Parks

Rent control comes as a relief to IT and IT-enabled services companies as the Government waives off rent on technology parks until June. 

The government eases rent pressure for IT and IT-enabled services companies after it waives rent for technology parks until June. All companies that are working out of IT parks will now have some relief for the four-month period they have working from home. 

COVID-19 outbreak has led the whole world back in their homes as the virus spreads through coming in contact with an infected person.  IT companies were one of the first few that announced work from home for their employees since the nature of the job allows them to work digitally. 

Ravi Shankar Prasad, Union Home Minister of Electronics and IT tweeted on Thursday saying, “IT units/startups operating from 60 STPI Centers across India have been granted waiver from paying rental for period between 01.03.2020 and 30.06.2020. This will benefit nearly 200 small & medium IT/ITeS units supporting 3,000 direct jobs.”

IT units/ startups operating from 60 STPI Centers across India have been granted waiver from paying rental for period between 01.03.2020 and 30.06.2020.
This will benefit nearly 200 small & medium IT/ITeS units supporting 3000 direct jobs. @stpiindia #IndiaFightsCorona

— Ravi Shankar Prasad (@rsprasad) April 16, 2020

When calculated, the total cost of the wavier on rent comes close to Rs 5 Crores for the 4 months that is permitted. As per a statement issued by Press Information Bureau- “The initiative… will provide relief to the industry in this crisis situation…and will benefit nearly 200 IT/ITeS MSMEs operating from these 60 STPI centres. 

STPI comes under the Ministry of Electronics and Information Technology and is an autonomous society which has 60 centres across the country. This initiative will be of particular help to small businesses that depend on their daily activities to pay monthly bills.