During the next two years (FY 2024-25 to FY 2025-26), the Ministry has a target to set up 1.6 lakh new enterprises with employment generation potential for 12.8 lakh people…reports Asian Lite News
The Centre on Monday said that recognised startups have reported to have generated more than 15.5 lakh direct jobs to date, as it detailed various initiatives taken by ministries and departments to help create even more jobs and nurture young entrepreneurs in years to come.
The Department for Promotion of Industry and Internal Trade (DPIIT) has recognised 1,40,803 entities as startups (as of June 30), said Minister of State (Independent Charge) for Skill Development and Entrepreneurship (MSDE), Jayant Chaudhary, in a reply to a question in the Lok Sabha.
The Ministry of Micro, Small & Medium Enterprises (MSME) is implementing the Prime Minister’s Employment Generation Programme (PMEGP) to assist entrepreneurs in setting up new enterprises in the non-farm sector.
It aims to provide employment opportunities to traditional artisans/ rural and urban unemployed youth at their doorstep.
Since inception, more than 9.69 lakh micro enterprises have been assisted with a Margin Money subsidy of more than Rs 25,500 crore, providing employment to an estimated 79 lakh people (both direct and indirect).
During the next two years (FY 2024-25 to FY 2025-26), the Ministry has a target to set up 1.6 lakh new enterprises with employment generation potential for 12.8 lakh people.
Similarly, the Ministry of Rural Development (MoRD) has implemented the Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-NRLM).
The Startup Village Entrepreneurship Programme (SVEP) is a sub-component of DAY-NRLM.
It is expected that the supported enterprises of 3,02,825 under SVEP have created an approximate employment of 6,26,848.
The Ministry of Electronics and Information Technology (MeitY) has launched several schemes for startups, like the ‘Technology Incubation and Development of Entrepreneurs’ (TIDE) 2.0 Scheme. The TIDE 2.0 Scheme has supported 1,235 startups, generating 8,556 jobs.
Over 55 regulatory reforms have been undertaken by the government since 2016 to enhance ease of doing business, ease of raising capital and reduce compliance burden for the startup ecosystem, informed the minister.
In the Union Budget 2024-2025, the Centre has abolished the angel tax on startups, paving the way for more foreign capital to be pumped into the ecosystem and further easing the funding winter.
‘India Now Home to 1.4 Lakh Startups’
India now has more than 1.4 lakh startups, as the government continues to nurture innovation and encourage investments in the ecosystem, Union Minister of State for Commerce and Industry, Jitin Prasada, informed on Friday.
In a reply to a question in the Rajya Sabha, the minister said that under the ‘Startup India’ initiative, the Department for Promotion of Industry and Internal Trade (DPIIT) has recognised 1,40,803 entities as startups (as of June 30).
Over 55 regulatory reforms have been undertaken by the government since 2016 – when the ‘Startup India’ initiative was launched — to enhance ease of doing business, ease of raising capital and reduce compliance burden for the startup ecosystem.
In the Union Budget 2024-2025, the Centre has abolished the angel tax on startups, paving the way for more foreign capital to be pumped into the ecosystem and further easing the funding winter.
Under the Startup India Seed Fund Scheme (SISFS), Rs 945 crore was sanctioned for a period of 4 years starting from 2021-22, informed the minister.
The government also established the Fund of Funds for Startups (FFS) scheme with a corpus of Rs 10,000 crore, to meet the funding needs of startups.
DPIIT is the monitoring agency and the Small Industries Development Bank of India (SIDBI) is the operating agency for FFS.
The Centre also established the credit guarantee scheme for startups for providing credit guarantees to loans extended to DPIIT-recognised startups by scheduled commercial banks, Non-Banking Financial Companies (NBFCs) and venture debt funds (VDFs) under SEBI-registered alternative investment funds.
According to reports, the Indian private equity and venture capital investments in 2023 stood at $39 billion compared to $62 billion in 2022.
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