The government will set up a fund for startups
New Delhi:
To support more capital for entrepreneurs across the country, the government will create an equity fund for startups, which will have a limited 20% share. This was announced by the Minister of Information Technology (IT) and Electronics Rajeev Chandrasekhar on Saturday.
The minister, who was attending an event organized by Confederation of Indian Industry (CII), referenced the budget announcement regarding the establishment of the fund by finance minister Nirmala Sitharaman.
“The finance minister has announced that there will be such a fund, in which the government will be the limited partner of 20% and it will be managed by private fund managers. Of course, there will be a fund. will be created and funded by the government, but it will be managed like any other private fund. That will create mandatory private equity as a supplement to what exists today “, said Mr. Chandrasekhar.
The Treasury Secretary announced the creation of government-backed funds to encourage key areas of sunrise, such as climate action, deep technology, digital economy, pharmaceuticals agricultural products and technology.
The government has adopted several funds like the India Startup Seed Fund Scheme (SISFS) with an outlay of Rs 945 crore to help startups meet their capital requirements.
Several states, including Karnataka, Uttar Pradesh, Bihar, Gujarat and Rajasthan, have already provided start-up funding.
“It’s a great time to be an entrepreneur. It’s a great time to be an entrepreneur.
“It is an absolute mission and an absolute belief for our prime minister and government that expanding the startup ecosystem, funding it, promoting it and creating innovations in the ecosystem is an absolute must. entrepreneurship… is all about in a post-COVID-19 world in the way that intellectual property is created,” said Mr. Chandrasekhar.
