Prime Minister Narendra Modi Announces Rs. 1,000 crore ‘Start-up India Seed Fund’ to push Growth of Tech Ventures
Nithya Satheesh
Narendra Damodardas Modi, Prime Minister of India | credits: Wikipedia
New Delhi: Prime Minister Narendra Modi on Saturday announced Rs 1,000 Crore worth Start-up India seed fund at ‘Prarambh: Start-Up India International Summit'. This aims to support start-ups in pursuing innovative ideas, to grow their business and help them raise their funds. PM Modi also added that the growth of start-ups will help in generating jobs and improves the lives of people in India.
This seed fund was set up so that start-up in India would not face a shortage of capital and Government would also help startups raise debt capital through guarantees. He also said that India is trying to create a startup ecosystem based on the mantra "Of the youth, By the youth, For the youth" and for the next five years, he have a mission that the start-ups in our country emerge as global giants and lead in futuristic technologies.- PM Modi
International Summit marked the fifth anniversary of Modi's Startup India initiative, which began in 2016. He also added that if this is the mission of all the countries of the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC), then a huge population would get benefited from it. BIMSTEC is a regional organisation of seven nations of South Asia and Southeast Asia which includes Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka, and Thailand.
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He said that Fund of funds scheme are already serving start-ups to raise equity capital and added the federal government will even assist the start-ups in fund-raising by way of ensures. Currently, India is one of the nations having the most important ecosystems for startups with more than 41,000 start-ups which are engaged in some campaign or the other. Of these, more than 5,700 are in the IT sector, more than 3,600 are in the health sector, and about 1,700 are in the agriculture sector and about 44 % of recognized startups in India have female administrators and a significant proportion of female staffs.
Modi said that in 2014, only 4 startups in India were part of Unicorn Club but today, more than 30 startups has crossed the 1 billion dollar mark, of which 11 start-ups entered the Unicorn Club in 2020 during the pandemic.