New Delhi: The Indian government has provided support to more than 10,000 tech startups over the past five years through various schemes and programs, according to Minister of State for Electronics and Information Technology, Jitin Prasada.
In a written reply to the Rajya Sabha, Prasada revealed that the government has disbursed a total of INR 580 crore in funding through incubators. This includes over INR 212 crore allocated to more than 3,600 tech startups supported by the Ministry of Electronics and Information Technology (MeitY).
Furthermore, the Department for Promotion of Industry and Internal Trade (DPIIT) has recognized a staggering 1.43 lakh startups as of July 31, marking a 1.6% increase from the previous month. These startups have collectively created over 15.5 lakh direct jobs in the country.
The government’s commitment to fostering the startup ecosystem is evident through initiatives like the Startup India program. Flagship schemes such as Technology Incubation and Development of Entrepreneurs (TIDE 2.0), Fund of Funds for Startups (FFS), Startup India Seed Fund Scheme (SISFS), and Credit Guarantee Scheme for Startups (CGSS) have provided crucial financial and technical support to aspiring entrepreneurs.
The recent Union Budget introduced several measures to boost the startup ecosystem, including the abolition of angel tax and the creation of a INR 1,000 crore VC fund for the space economy. These initiatives, coupled with the reduction of TDS for ecommerce platforms and the establishment of ecommerce export hubs, aim to create a more favorable environment for startups.
With 116 unicorns and 112 soonicorns, India currently boasts the third-largest startup ecosystem globally. The recent entry of ride-hailing startup Rapido into the unicorn club further solidifies the country’s position as a startup hub.
The government’s sustained efforts to nurture the startup ecosystem are expected to drive job creation, economic growth, and technological innovation in India.
