What crisis?

In several discussions around GITEX over the past few days, I've heard a lot of IT companies saying that they aren't too worried about the global economic crisis

In several discussions around GITEX over the past few days, I've heard a lot of IT companies saying that they aren't too worried about the global economic crisis. While most will say that the Middle East shouldn't pretend its not happening, many don't believe its going to hit here, and some see it as a big opportunity for the IT industry to prove some of its fundamental value.

Their reasoning goes that the big spenders in the region either can't afford to stop spending, or can afford to spend and will do so to support local economies.

In the government sector, spending will continue as governments try to support local business, and because they need to carry on investing in crucial sectors like healthcare and education to meet the needs of a growing population.

For banks and other financial institutions, putting systems in place to manage compliance and other data management issues can't be seen as an optional extra for the region any longer. The financial markets are under greater scrutiny than ever, so they need to be able to get a handle on their processes.

In the telecoms sector, while telcos are likely to slow down on implementing the most cutting-edge technology, many are government owned businesses, operating in de-regulated markets - they need to spend to stay in competition.

And for many other sectors, while big bang projects are likely to be shelved, consultancy and services projects that help get the most out of existing infrastructure, and outsourcing by western companies looking to cut costs, will keep the region's service sector busy.

Only SMEs and the less organized companies are likely to really put the brakes on their spending - or so goes the thinking of the companies that are taking a bullish approach to the situation. It could be wishful thinking or maybe a realistically aggressive way to tackle a difficult situation - what do you think?