Security-service SMEs to grow at 18-20%, expects CRISIL Research

More than three-fourths of the SMEs in the industry are present in the manned guarding segment

Over the past three fiscal years, providers of security services, where small and medium enterprises (SMEs) have 60-65 per cent market share, have logged a compound annual growth rate (CAGR) of 18-20 per cent. CRISIL Research expects them to grow at a similar pace over the next two fiscal years, too.

Growth is being driven by infrastructure development, urbanisation, the growing incidence of crime and terrorism, and the low police to population ratio.

In terms of infrastructure development, the overall urban housing stock and commercial stock has grown at a CAGR of five per cent in the last three years