Government Strengthens Startup Ecosystem with Bold Reforms
ECONOMY & POLICY

Government Strengthens Startup Ecosystem with Bold Reforms

The Indian Government is ramping up efforts to foster innovation, entrepreneurship, and investment through robust initiatives under the Startup India programme. Launched on 16 January 2016, this flagship initiative aims to build a thriving startup ecosystem by providing financial aid, infrastructure, and mentorship.

The Startup India Seed Fund Scheme (SISFS) supports incubators in both private and academic sectors. It offers startups crucial funding for proof of concept, prototype development, product trials, market entry, and commercialisation. The Experts Advisory Committee (EAC) of SISFS is responsible for evaluating and selecting incubators for fund allocation. The scheme has been in operation since 1 April 2021, and as of 31 January 2025, 217 incubators have been selected under the scheme, with a total approved funding of ?916.91 crore (£91.69 million).

The Government is actively enhancing the startup landscape through inclusive policies that empower entrepreneurs, including those from disadvantaged, rural, and tribal communities. Flagship schemes such as the Fund of Funds for Startups (FFS), Startup India Seed Fund Scheme (SISFS), and the Credit Guarantee Scheme for Startups (CGSS) provide support at various stages of business growth.

Key initiatives like the States' Startup Ranking, National Startup Awards, and Innovation Week foster competition and drive excellence within the ecosystem. Industry-led events such as Startup Mahakumbh serve as vital networking platforms for collaboration.

Additionally, the Government is expanding market access and streamlining public procurement to help startups scale and grow. Digital platforms like the Startup India portal and BHASKAR offer seamless access to resources and collaboration tools. Corporates are also being encouraged to mentor startups, provide infrastructure, share resources, and facilitate investor connections.

These efforts, complemented by regulatory reforms and strategic ecosystem programmes, are solidifying India's position as a global hub for startups.

This information was provided by Shri Jitin Prasada, Minister of State for Commerce & Industry, in a written reply in the Lok Sabha today.

The Indian Government is ramping up efforts to foster innovation, entrepreneurship, and investment through robust initiatives under the Startup India programme. Launched on 16 January 2016, this flagship initiative aims to build a thriving startup ecosystem by providing financial aid, infrastructure, and mentorship. The Startup India Seed Fund Scheme (SISFS) supports incubators in both private and academic sectors. It offers startups crucial funding for proof of concept, prototype development, product trials, market entry, and commercialisation. The Experts Advisory Committee (EAC) of SISFS is responsible for evaluating and selecting incubators for fund allocation. The scheme has been in operation since 1 April 2021, and as of 31 January 2025, 217 incubators have been selected under the scheme, with a total approved funding of ?916.91 crore (£91.69 million). The Government is actively enhancing the startup landscape through inclusive policies that empower entrepreneurs, including those from disadvantaged, rural, and tribal communities. Flagship schemes such as the Fund of Funds for Startups (FFS), Startup India Seed Fund Scheme (SISFS), and the Credit Guarantee Scheme for Startups (CGSS) provide support at various stages of business growth. Key initiatives like the States' Startup Ranking, National Startup Awards, and Innovation Week foster competition and drive excellence within the ecosystem. Industry-led events such as Startup Mahakumbh serve as vital networking platforms for collaboration. Additionally, the Government is expanding market access and streamlining public procurement to help startups scale and grow. Digital platforms like the Startup India portal and BHASKAR offer seamless access to resources and collaboration tools. Corporates are also being encouraged to mentor startups, provide infrastructure, share resources, and facilitate investor connections. These efforts, complemented by regulatory reforms and strategic ecosystem programmes, are solidifying India's position as a global hub for startups. This information was provided by Shri Jitin Prasada, Minister of State for Commerce & Industry, in a written reply in the Lok Sabha today.

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