BENGALURU, April 17 Reuters Shares of Infosys Ltd slumped nearly 15 on Monday, dragging peers and the benchmark index, after the company39;s dismal revenue outlook raised concerns about demand for Indian IT services amid a global banking turmoil and recession fears.

Infosys39; outlook last week followed a disappointing quarterly report from larger rival Tata Consultancy Services Ltd, highlighting worries for the sector which earns more than 25 of its revenue from the U.S. and European banking, financial, services and insurance sectors.

The collapse of two midsized U.S. lenders in March had left the financial ecosystem shaken, and drove an extraordinary government effort to reassure depositors and backstop the system.

Some of the macro challenges, especially around banking, financial services and insurance BFSI has become bigger and that does mean project cancellations or delays in the deal decision cycle, said Apurva Prasad, vice president of institutional research, HDFC Securities.

Prasad said he was expecting a sequential decline for companies like HCLTech Ltd, Wipro Ltd and Tech Mahindra Ltd on constant currency basis.

Infosys, India39;s secondlargest IT services firm, on Thursday said it expects revenue growth of 47 on a constant currency basis for the year ending March 2024, well below analysts39; expectations of 10.7, as clients cancelled projects and deferred spending on growing fears of a recession.

The previous slowest annual growth was a 5.8 increase in…