Top Offshore Development Destinations: Number of Developers, Salaries & More
Are you challenged to keep up with the digital transformation’s growing demands while dealing with skyrocketing developer rates in your country? About 57% of businesses, too, are seeking ways to cut their expenses. The good news is offshore development teams come as a perfect solution to these concerns.
The global IT spending soars to $4.6 trillion in 2023, a substantial 5.5% increase from the previous year, and shows no signs of slowing down. In this scenario, choosing offshore destinations instead of hiring locally is a savvy strategy for finding qualified professionals with the necessary tech stack, reasonable costs, and well-established processes.
The need for offshore specialists is undeniable, given the expanding IT outsourcing market: it’s projected to increase from $585 billion in 2023 to over $701 billion in 2028. Around 92% of the world’s top 500 companies leveraging offshore teams for day-to-day operations only add to this approach’s relevance.
If this cooperation option sounds viable to you, continue reading to find more details on the 16 best countries for offshore software development. Learn about the number of developers available, their salary rates, technology stacks, and beyond.
Most Popular Countries for Offshore Development
Let’s start our overview of the best offshore software development countries by exploring a vital aspect: the number of developers. Learning about the size of the talent pool in a particular destination is critical, as it directly impacts your ability to locate the right dev team. We’ve compiled a comprehensive table listing the number of developers according to such respective sources as Statista, LinkedIn, and Indeed.
| Country | Number Of Devs According to LinkedIn | Number Of Devs According to Statista |
| Vietnam | 69,000 | 224,000 |
| India | 2,700,000 | 5,400,000 |
| Ukraine | 77,000 | – |
| Philippines | 86,000 | – |
| Poland | 118,000 | 286,163 |
| Portugal | 50,000 | 114,153 |
| Brazil | 212,000 | 133,000 |
| Belarus | 22,000 | – |
| Costa Rica | 14,000 | – |
| UK | 352,000 | 466,000 |
| Pakistan | 113,000 | – |
| Romania | 68,000 | 245,500 |
| Mexico | 113,000 | 225,000 |
| USA | 2,050,000 | 1,630,000 |
| Argentina | 61,000 | 100,000 |
| Colombia | 69,000 | 62,000 |
Now that you’ve learned more about the talent pool in the top offshore software development countries, let’s proceed with the dev costs, popular tech stacks, prominent IT hubs, and successful startups.
As you can see in the table above, Eastern European and LATAM countries offer qualified talent at a compelling salary rate. While Western nations provide top-notch specialists as well, the offshore software development cost may be higher.
Why Are Eastern European Software Developers in Demand?
Offshore software development Ukraine, Poland, Romania, and Belarus, i.e., in Eastern European countries, is gaining prominence thanks to cost-effectiveness and decent quality. Yet, these aren’t the only reasons to hire developers here. Explore some facts about each of these countries to understand Eastern Europe’s unique advantages and considerations better.
Ukraine
Despite the uncertainties caused by Russia’s full-scale invasion, Ukraine not only stood firm but also managed to surpass its previous tech export revenues. As USAID reveals, the country’s tech sector experienced substantial growth of 38% during 2020 and 2021, making about $7 billion. One year into the war, Ukraine impressed everyone by generating $7.34 billion in export revenues — a 5% increase from 2021. Even more, the country retained jobs for over 285,000 ICT specialists.
Hiring an offshore software development team here means not only getting workers with certain programming skills but also being sure of their expertise and education. According to Statista, about 20,000 ICT students graduated in 2021. Their number is not going to decrease.
Speaking of employment, Ukraine boasts of having one of the world’s lowest personal income tax rates of 5%. Other surcharges include the 1,5% military levy and social security tax, which is around $50 per employee.
Let’s look at other offshore development team Ukraine facts in the table below.
| English proficiency | Following the EF English Proficiency Index 2022, Ukraine ranks 35th among 111 countries worldwide, demonstrating moderate English proficiency. |
| Talent pool | About 200,000 ICT specialists. |
| Top technologies | HostAdvice states PHP, Microsoft ASP.NET, Python, Lua, and Node.js are the most common technologies in Ukraine. |
| Skill trends and proficiency | The Global Skills Report 2022 by Coursera puts Ukraine in the 21st place among 102 countries, with technology (93%) and data science (81%) skills being cutting-edge. |
| Competitiveness | Ukraine ranks 14th among the European countries in terms of IT competitiveness, as per Emerging Europe’s Future of IT Report 2022. |
Poland
Opting for offshore software development Poland is a promising venture. The country’s economy has been experiencing stable growth since joining the EU in 2004. There are about 60,000 tech companies in Poland, and ten out of them are unicorns.
Offshore development Poland is favorable for entrepreneurs. The country ranked 40th out of 140 global economies in terms of ease of doing business, as Statista suggests.
Consider other factors that may influence your decision to hire developers in Poland:
| English proficiency | Poland ranks 13th out of 111 countries worldwide and is among the top thirteen nations with very high English proficiency, according to the EF English Proficiency Index 2022. |
| Talent pool | Nearly 286,000 ICT employees. |
| Top technologies | HostAdvice indicates PHP, Microsoft ASP.NET, Lua, Python, and Node.js as the most popular programming languages in Poland. |
| Skill trends and proficiency | Poland holds 20th place among 102 countries participating in Coursera’s Global Skills Report 2022. The country’s specialists have cutting-edge technology (92%) and data science (80%) skills. |
| Competitiveness | Emerging Europe states that Poland is the second-most competitive European country in the IT industry. |
Romania
Choosing offshore software development Romania means tapping into the thriving tech landscape. The country’s software market revenue surpassed $347 million in 2023 and is set for a 6.65% yearly growth from 2023 to 2028. Enterprise software is the main market’s driver, accounting for over $142 million in revenue in 2023.
Romanian software developers bring other perks and opportunities:
| English proficiency | Romania ranks 17th out of 111 countries, boasting high English proficiency, as per the EF English Proficiency Index 2022. |
| Talent pool | About 245,500 people are employed in the ICT sector. |
| Top technologies | PHP, Microsoft ASP.NET, Python, Lua, and Java are the most used technologies in Romania, according to HostAdvice. |
| Skill trends and proficiency | Following Coursera’s Global Skills Report 2022, Romania holds the 40th rank among 102 countries, possessing cutting-edge tech skills (76%) and emerging data science abilities (46%). |
| Competitiveness | Romania is the 6th most competitive country in Europe, according to Emerging Europe’s Future of IT Report 2022. |
Belarus
The Belarusian IT sector is export-oriented, with its most significant growth taking place between 2015 and 2021. In 2021, the country’s tech exports reached $3.8 billion, constituting 5.5% of the nation’s GDP. Besides, over 5,200 students graduated in the ICT specialties that year.
Yet, offshore software development Belarus opportunities were undermined by the political persecution of Belarusians and the Russian invasion of Ukraine. Between March and December 2022, the country’s IT companies experienced a dramatic outflow of over 17,000 employees, nearly 20% of the total workforce. Hopefully, plenty of Belarus citizens relocated to countries like Ukraine and Poland, having found refuge there.
If you are determined to hire programmers in Belarus or locate Belarusian experts in other countries, consider the following stats:
| English proficiency | According to the EF English Proficiency Index 2022, Belarus ranks 39th among 111 nations and has moderate English proficiency. |
| Talent pool | Nearly 40,000 ICT experts. |
| Top technologies | Java, .NET, and PHP are the top technologies in Belarus, as our report suggests. |
| Skill trends and proficiency | Belarusian specialists hold cutting-edge tech (99%) and data science (96%) skills and rank 12th among 102 countries explored, according to Global Skills Report 2022 by Coursera. |
| Competitiveness | Belarus ranks as the 15th most competitive IT country in Europe, following the Future of IT Report 2022 by Emerging Europe. |
Asia’s Offshore Software Development Countries
Enormous and versatile talent pools and reasonable cost of offshore software development are all about India, the Philippines, and Vietnam. Let’s look at these countries separately and explore their tech scenes in greater depth.
India
Given the vast talent pool, offshore software development India is a perfect option for businesses looking for diverse and the most unique skills. Even better, hiring such experts becomes increasingly cost-effective as the Indian tech industry decentralizes into 26 smaller IT hubs. Besides Bengaluru, Delhi NCR, Hyderabad, Chennai, and Kolkata, more technology hubs have emerged, with Jaipur, Kanpur, Vellore, Nashik, and others among them.
The software market in India is promising as well. It has already reached $8.44 billion in 2023 and will expand at an 11.31% rate during 2023 and 2028 to ultimately surpass $14 billion in revenue. On top of that, the high-tech exports of offshore development India exceeded $27 billion in 2021, following the World Bank data.
Consider even more stats on Indian software developers:
| English proficiency | India ranks 52nd among 111 nations, possessing moderate English proficiency, according to the EF English Proficiency Index 2022. |
| Talent pool | Over 5,400,000 IT specialists. |
| Top technologies | The commonly used technologies in India include PHP, Microsoft ASP.NET, Ruby, Node.js, and Java, as per HostAdvice. |
| Skill trends and proficiency | India holds 68th place out of 102 nations, with emerging technology (46%) and data science (26%) skills, following the Global Skills Report 2022. |
The Philippines
The offshore software development Philippines proves to be startup-oriented. According to the Asian Development Bank, the most advanced industries are FinTech and eCommerce, yet EdTech, HealthTech, AgriTech, and GreenTech emerge as well.
The Filipino IT services market is steadily expanding at a 10.69% yearly rate, projected to grow from $1.95 billion in 2023 to $3.24 billion in 2028. Statista also adds that BPO accounts for most of the market’s volume — $0.62 billion in 2023.
Before you decide to hire developers in Philippines, go through the following stats:
| English proficiency | The Philippines is at the 22nd spot among 111 countries and has high English proficiency. |
| Talent pool | About 190,000 ICT specialists. |
| Top technologies | Python, Java, JavaScript, C, C++, and C# are the most popular technologies in the Philippines. |
| Skill trends and proficiency | The Philippines ranks 70th out of 102 countries, having emerging technology skills (29%) and lagging data science abilities (21%), according to Coursera. |
Vietnam
Offshore software development Vietnam is a lucrative opportunity for businesses to tap into innovation, consistent growth, and favorable labor costs. As the Financial Times states, this country’s tech sector will expand at %8.9 annually between 2022 and 2026.
As per the same report, connectivity, device penetration, digital payments, and entertainment tech are becoming prevalent, solidifying the country’s position as a major Vietnam offshore development center service for these industries.
Offshore development Vietnam is also a viable option for companies that aim to drive Web 3.0 to the forefront. The country already hosts about 3,800 blockchain-related projects and keeps up its progress in this area.
If you want to hire software developers in Vietnam, look at the following facts and stats:
| English proficiency | Ranking 60th out of 111 countries, Vietnam has moderate English proficiency. |
| Talent pool | Nearly 224,000 ICT employees. |
| Top technologies | JavaScript, SQL, Java, CSS, .NET, and C# are the most common technologies in Vietnam. |
| Skill trends and proficiency | Vietnam ranks 35th among 102 countries and has competitive technology (65%) and data science (72%) skills, as per Coursera. |
Best Countries to Choose in Latin America
LATAM countries like Brazil, Mexico, Colombia, and Argentina are gaining momentum along with such destinations as Ukraine offshore development. Let’s review them in greater depth.
Brazil
Brazil dominates the Latin American IT market with a substantial 40% share. It also holds the 10th spot on the global IT stage, making Brazil offshore software development an exceptional opportunity for businesses.
If you’re determined to hire developers in Brazil, the following stats might support your decision:
| English proficiency | Brazil ranks 58th out of 111 countries, possessing a moderate level of English proficiency. |
| Talent pool | Over 133,000 IT employees. |
| Top technologies | PHP, Microsoft ASP.NET, Erlang, Lua, and Node.js are the most used programming languages in Brazil, as HostAdvice states. |
| Skill trends and proficiency | Brazil holds the 63rd place among 102 countries and has competitive technology skills (73%) and emerging data science abilities (34%). |
Mexico
Offshore software development in Mexico brings several advantages: a skilled workforce, reasonable costs, and government support for IT initiatives. No wonder this country is a significant high-tech exporter, with exports valued at almost $75 billion in 2021.
On top of that, offshore development in Mexico allows businesses to locate certified and well-educated professionals. About 20% of all Mexican graduates have engineering degrees, totaling over 110,000 yearly.
Before you hire software developers in Mexico, consider the following facts:
| English proficiency | Following the EF English Proficiency Index 2022, Mexico ranks 88th among 111 countries, which corresponds to the country’s very low English proficiency level. |
| Talent pool | Around 225,000 software developers. |
| Top technologies | The most used technologies in Mexico are MATLAB, Python, and JavaScript. |
| Skill trends and proficiency | As per Coursera’s Global Skills Report 2022, Mexico holds 89th place among 102 countries explored and has competitive technology skills (53%) and emerging data science abilities (41%). |
Colombia
Columbia is the top country by skill proficiency in Latin America, as Coursera points out. The nation fosters innovation in scientific, commercial, and production industries, gradually integrating technologies into them. It also plans to launch the 5G spectrum for auction, which only adds to choosing offshore software development Colombia.
If you want to locate software developers in Colombia, check out these facts first:
| English proficiency | Colombia ranks 77th among 111 countries and has low English proficiency, as per the EF English Proficiency Index 2022. |
| Talent pool | Nearly 62,000 software developers. |
| Top technologies | Java, Python, Perl, Kotlin, and HTML/CSS are the most used technologies in Colombia. |
| Skill trends and proficiency | Colombia ranks 19th globally among 100 countries, possessing cutting-edge technology mastery (95%) and competitive data science abilities (68%), according to Coursera. |
Argentina
Offshore software development Argentina is especially favorable for startups and small businesses. As the International Trade Administration reveals, this country accommodates 11 among 34 unicorns in Latin America.
The Argentinian government also contributes to the country’s tech industry’s success and actively invests in infrastructure. For example, they intend to expand the fiber network to over 1,200 towns, spending more than $80 million in the next 18 months.
Explore the following stats before you hire software developers in Argentina:
| English proficiency | Argentina ranks 30th among 111 nations, meaning it has a high English proficiency level. |
| Talent pool | Around 100,000 software developers. |
| Top technologies | PHP, Microsoft ASP.NET, Python, Java, and Lua are the most popular technologies in Argentina. |
| Skill trends and proficiency | Ranking 30th out of 100 countries, Argentinian specialists have cutting-edge technology (96%) and data science (93%) skills, as Coursera indicates. |
Other Popular Destinations for Offshore Development
Finally, let’s study the offshore development countries left in our comprehensive list. Learn more about offshore development services in Portugal, Costa Rica, the UK, the USA, and Pakistan. When discussing top offshore development destinations, the strategy to hire developers in Latin America stands out for its cost-effectiveness, diverse talent pool, and cultural compatibility with North American companies, making it a highly attractive option for businesses looking to outsource their software development needs.
Portugal
Offshore software development in Portugal is gaining as much prominence as outsourcing to Eastern Europe. That’s owing to the country’s reasonable salary rates, a rapidly growing tech scene, and an unparalleled quality of education and work.
Choosing to hire offshore development team in Portugal is a decent opportunity for emerging businesses. Consider that startups in Lisbon, the capital city, were valued at about $22,5 billion in 2022, making a 26-fold increase from 2016.
It’s also relatively effortless to gather an offshore software development team Portugal, given that about 90,000 IT students graduate each year.
If you want to hire software developers in Portugal, look at the following stats:
| English proficiency | Portugal ranks 9th among 111 nations, demonstrating a very high English proficiency level. |
| Talent pool | Around 114,000 ICT employees. |
| Top technologies | The most common techs in Portugal are PHP, Microsoft ASP.NET, Python, Ruby, and Java, according to HostAdvice. |
| Skill trends and proficiency | Portugal ranks 66th out of 102 countries, and the country’s specialists have emerging technology (37%) and data science (38%) skills. |
Costa Rica
Opting for Costa Rica offshore development is a profitable venture for tech businesses. The country is proud to offer the second-best startup ecosystem in Central America.
If you’re about to hire developers in Costa Rica, check out these stats and facts:
| English proficiency | Costa Rica holds 37th place among 111 countries and has moderate English proficiency. |
| Talent pool | More than 14,000 developers. |
| Top technologies | Python, JavaScript, C, and C++ are the most common technologies in Costa Rica. |
| Skill trends and proficiency | Costa Rica ranks 57th out of 102 countries, and the country’s specialists possess emerging technology (34%) and data science (48%) skills. |
The UK
Offshore software development UK guarantees an established technical infrastructure and processes and top-notch project quality. Yet, it may be a costly venture for certain businesses.
The good news is that companies can choose among a decent amount of talent. Only between October 2021 and September 2022, the UK created over 1.86 million jobs in the digital industry. Computer programming constituted 1.03 million of those workplaces.
The country also accommodates 144 unicorns, 237 futurecorns, and over 85,000 startups — more than any other European nation. If you want to hire programmers in the UK, consider the following stats as well:
| Talent pool | About 466,000 programmers and software developers. |
| Top technologies | PHP, Microsoft ASP.NET, Perl, Lua, and Node.js are among the most common techs in the UK, following the HostAdvice data. |
| Skill trends and proficiency | The UK holds the 38th position among 102 countries, with tech experts having competitive technology (60%) and data science (74%) skills. |
The USA
When it comes to salaries, the US probably has the highest offshore software development rates by country. But the specialists’ skill sets and education are worth the money.
The US also boasts the highest IT services revenue in the world. In 2023, the country made over $454 billion in profits. Other offshore software product development USA stats are as follows:
| Talent pool | Over 1,630,000 software developers. |
| Top technologies | PHP, Microsoft ASP.NET, Lua, Java, and Ruby are the most popular programming languages in the USA, as per HostAdvice. |
| Skill trends and proficiency | The USA ranks 29th out of 102 countries globally, with specialists having emerging technology skills (43%) and competitive data science abilities (54%). |
Pakistan
Offshore software development Pakistan is lucrative, given the country’s educational landscape and emerging tech companies. As Gulf News states, there are 20,000 IT graduates annually and about 5,000 ICT companies in this country.
Yet, before you hire software developers in Pakistan, go through the following facts:
| English proficiency | Pakistan ranks 70th among 111 countries, which indicates its low English proficiency. |
| Talent pool | Over 113,000 software developers. |
| Top technologies | Python, Java, JavaScript, PHP, and C++ are the most used technologies in Pakistan. |
| Skill trends and proficiency | Ranking 64th among 102 countries, Pakistani specialists have competitive technology skills (51%) and lagging data science abilities (23%). |
Mobilunity Success Stories in Hiring for Global Clients
Mobilunity has been providing top-notch offshore development Ukraine teams for our clients worldwide for over 13 years. During this time, we’ve contributed to the success of numerous projects spanning various countries, with Japan, Switzerland, France, and 12 others included.
One of our prominent cases was to hire offshore Magento developers for a client from Germany. Running a promising eCommerce home decor store, 360Living, our customer required an expert team’s development and technical support services. Mobilunity managed to locate the specialists fitting 360Living’s requirements completely.
Our other project involved gathering an offshore development team for a client from such a distant country as Japan. The client was concerned about how we’d establish the processes so they go as smoothly as possible. Nevertheless, Mobilunity handled the task with perfection and provided continuous HR support for the team. Exploring top offshore development destinations becomes more promising when you decide to hire Rust developer, as their expertise in crafting secure and efficient software aligns with the need for high-quality development in a cost-effective manner.
A real estate platform, Codename, is another Mobilunity’s success. Our client from France required an experienced team from Ukraine. We were able to find qualified developers timely, and they’ve already achieved significant results.
Consider Mobilunity as Your Trusted Partner
Established in 2010, Mobilunity has been delivering offshore Ukraine software development services and locating teams in other destinations for over a decade.
Our company has over 40 satisfied clients from more than 15 countries. We have successfully located offshore software development teams in Ukraine, Croatia, Serbia, Kazakhstan, Azerbaijan, Albania, Peru, and Tajikistan. Even better, our experts can recruit developers from the nations discussed today, namely offshore development Portugal, Pakistan, India, Poland, and beyond.
You can reach our comprehensive services through two flexible cooperation models:
- Dedicated Teams of Experts — available full-time and suitable for large projects in offshore Node.js development and any other niche.
- Part-time Consultants — available when you need them most and best for short-term or small-load projects.
If you’re interested in engaging an offshore software development company Ukraine, consider Mobilunity as your trusted partner. Rely on our extensive offshoring expertise to get the specialists you require.
Want to explore the offshore software development rates by country? Read Mobilunity’s post or contact our experts directly!
All salaries and prices mentioned within the article are approximate NET numbers based on the research done by our in-house Recruitment Team. Please use these numbers as a guide for comparison purposes only and feel free to use the contact form to inquire on the specific cost of the talent according to your vacancy requirements and chosen model of engagement.
