IT SERVICE providers can look forward to securing $1.2 billion worth of IT contracts from the Government this year.

The contracts will let government agencies tap into cloud computing, implement IT projects in weeks and enhance the user experience of e-government services and apps.

Speaking at an annual industry briefing yesterday on the Government`s IT plans for the year ahead, Infocomm Development Authority (IDA) assistant chief executive James Kang said two-thirds of the contracts are valued at under $1 million.

"That`s good news for SMEs (small and medium-sized enterprises)," he said, adding that larger IT companies can also bid for bigger tenders - worth between $1 million and $5 million - that make up a quarter of the contracts