Govt initiatives support over 1.4 lakh startups, creating 15.5 lakh jobs: Jayant Chaudhary

New Delhi: The Government of India has implemented various initiatives to promote startups across the country, aiming to build a strong ecosystem for nurturing innovation and encouraging investments. 

The information was given by the Minister of State (Independent Charge), Ministry of Skill Development and Entrepreneurship (MSDE), Jayant Chaudhary in a written reply in the Lok Sabha.

“Under the Ministry of Commerce and Industry, the Startup India initiative was launched on January 16, 2016, to nurture innovation and encourage investment. As of June 30, 2024, DPIIT has recognized 1,40,803 entities as startups, contributing to the creation of over 15.5 lakh direct jobs, with startups recognized in every state and union territory,” said the Minister.

The MSME Ministry, through the Khadi and Village Industries Commission (KVIC), implements the Prime Minister’s Employment Generation Programme (PMEGP) to support entrepreneurs in establishing new enterprises in the non-farm sector. PMEGP offers margin money (MM) subsidies to assist General and Special Category beneficiaries in both rural and urban areas. Since its inception in FY 2008-09, over 9.69 lakh micro enterprises have been assisted, generating employment for approximately 79 lakh persons.

The Ministry aims to set up 1.6 lakh new enterprises over the next two years, potentially creating 12.8 lakh jobs.

The Ministry of Rural Development implements the Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-NRLM), which includes the Startup Village Entrepreneurship Program (SVEP). SVEP supports rural entrepreneurs in setting up local enterprises, with 302,825 enterprises supported so far, generating about 626,848 jobs.

The DST’s National Initiative for Developing and Harnessing Innovations (NIDHI) program supports innovation and entrepreneurship in academic settings. Launched in 2016, NIDHI includes setting up incubation centers, providing proof of concept funding, and supporting prototyping and early-stage seed funding. This initiative contributes to developing indigenous technologies and promoting economic development through technology-based solutions.

Under the Rashtriya Krishi Vikas Yojana (RKVY), the Ministry of Agriculture and Farmers’ Welfare promotes agri-startups through the “Innovation and Agri-Entrepreneurship Development” program. The program provides financial and technical support to startups in agriculture and allied sectors. So far, 1,708 agri-startups have been supported, with financial aid up to ₹25 lakh at the seed stage and up to ₹5 lakh at the pre-seed stage.

The Ministry of Electronics and Information Technology has introduced several schemes to support tech startups. The Technology Incubation and Development of Entrepreneurs (TIDE) 2.0 Scheme, initiated in 2019, offers financial and technical support to ICT startups in emerging technologies like IoT, AI, and blockchain. Under TIDE 2.0, 1,235 startups have received support, generating 8,556 jobs. The GENESIS scheme, with a budget of ₹490 crore, focuses on scaling tech startups in Tier-II and Tier-III cities, aiming to support over 1,500 startups.

The Startup India initiative encompasses various programs such as the Startup India Seed Fund Scheme (SISFS), Fund of Funds for Startups (FFS), and the Credit Guarantee Scheme for Startups (CGSS). These schemes provide financial support, credit guarantees, and funding to startups at different stages of development. Other notable efforts include regulatory reforms, self-certification under labor and environmental laws, and support for intellectual property protection. The Government also facilitates international market access and organizes events like the Startup India Innovation Week to promote entrepreneurship.

Other government programs are Startup India Hub, Startup India Showcase, States’ Startup Ranking Framework (SRF), ASCEND, Startup India Investor Connect Portal, and National Mentorship Portal (MAARG).

Other notable efforts include facilitating international market access and organizing events like the Startup India Innovation Week to promote entrepreneurship. The National Startup Advisory Council, constituted in January 2020, advises on building a strong startup ecosystem, while the National Startup Awards recognize outstanding startups and ecosystem enablers. The States’ Startup Ranking Framework encourages competitive federalism and highlights successful policy interventions. The Startup Champions program on Doordarshan and the Startup India Showcase further promote innovative startups and their achievements.