Boosting Innovation: Rs 10,000 Crore Fund for Startups

The commerce and industry ministry will allocate the Rs 10,000 crore Fund of Funds Scheme to support startups in technology sectors. Originally launched in 2016, the scheme, managed by SIDBI, aims to catalyze venture capital investments. Over 1,50,000 entities have been recognized as startups since the Startup India initiative began.

The commerce and industry ministry is set to channel a significant portion of a fresh Rs 10,000 crore Fund of Funds Scheme towards emerging entrepreneurs in dynamic sectors like new-age technology, artificial intelligence, and machine building, according to an official announcement.

This initiative comes in the wake of the government's budget declaration of a new Fund of Funds with an enormous corpus of Rs 10,000 crore, echoing a similar scheme introduced in 2016, aimed at stimulating venture capital investments.

The Small Industries Development Bank of India (SIDBI) is expected to oversee the management of this scheme, continuing its role from the previous iteration. The ultimate goal is to foster a robust ecosystem conducive to innovation, underlined by the government's Startup India initiative that has already recognized over 1,50,000 startup entities across a diverse range of industries.

(With inputs from agencies.)