Since the launch of the Startup India initiative on January 16, 2016, the DPIIT has recognised 28,979 startups as of March 1, 2020. Of these, 27,137 startups employed around 337,000 people.
NEW DELHI: The Department for Promotion of Industry and Internal Trade (DPIIT) will soon approach the Cabinet with a proposal to create a Startup India seed fund and launch a credit guarantee scheme to help budding entrepreneurs and startups.
The National Seed Fund seeks to support ideation and development of early stage startups whereas the credit guarantee scheme will enable startups to raise easier loans.
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“Work on the Cabinet note is in advanced stage,” an official said.
The two schemes are part of a larger roadmap to improve India’s standing on the startup front and the overall vision for the sector will detail the priority areas that need support, the official said.
In its election manifesto in 2019, the Bharatiya Janata Party had promised to create a seed startup fund of Rs 20,000 crore to back early-stage companies and a scheme to provide collateral-free credit of up to Rs 50 lakh for entrepreneurs wherein 50% of the loan amount would be guaranteed towards female entrepreneurs, while 25% will be for male entrepreneurs.
Source: Economic Times
