Initial Fund of Rs. 10,000 Cr. by Government for Early-stage Funding Requirement of Startups

On December 9, Piyush Goyal Union Minister of Commerce and Industry said that "Government is constantly providing inputs and impetus to the startup ecosystem to help them expand their base while addressing the ICAI's Startup Manthan 2.0. The Government has introduced several benefits to encourage and boost startups."

Speaking about the support to startups, the minister said that this includes tax benefits. He added “Government has created a fund of funds for Startups with an initial corpus of Rs.10,000 crores for funding promising Startups in their early-stage funding requirement. The Government e-Marketplace provides an equitable opportunity to Startups to offer their services and products to all Govt enterprises across the country.”

The minister stated that today, India is started the economy on a journey towards becoming self-reliant and startups are leading the way. “We are at the critical juncture of human history where our actions shall directly impact billions of people. Our entrepreneurs can create a golden era where our startups with their commitment, vigour and perseverance make India a leader across all sectors. As the Startups work hard, we will support them in their endeavour”, the minister said.

Explaining that Creativity, Innovation, Invention and Development are the foundations and mandates of New India, he said: “In this new normal we need long term sustainable solutions to become self-reliant. We had launched Startup India initiative in 2016 to create an ecosystem of innovation, invention and enterprise. India now houses the 3rd largest startup ecosystem in the world.”

The Minister expressed confidence that Chartered Accountants (CAs) under the leadership of Prime Minister Narendra Modi will give a hand to bring about spirit of entrepreneurship, even in the out-lying villages and towns.

He said that "Chartered Accountants working in partnership with the Government can ensure great successes for the people of India and the country in the years to come. Our Chartered Accountants have that competitive edge when it comes to serving the startup ecosystem”.

The Minister restated the Prime Minister statement that "Startups are the engines of exponential growth, manifesting the power of innovation." He assured that Chartered Accountants are going to be startup entrepreneurs; also they will be service providers to the new startups.

He urged CAs to assist with farmers in the entire country to understand the great benefits that the Government is trying to provide to them throughout the entire length and breadth of the country. He said “We are opening new doors of opportunities for them by providing them with more options. This effort to open opportunities to farmers is a huge reform which, in the long run, will help our farmers exponentially increase their income, have better cropping patterns and engage with technology.”

“He is confident, going forward, as more and more people understand and appreciate the good work that these changes are seeking to do, we will see huge improvements in the life and prosperity of our farmer brothers and sisters”, he added.

The minister congratulated ICAI institute for issuing the MSME Business Continuity Checklist. He said that "it is another marvelous initiative by the institute which will help handhold the MSME sector; this platform provided by the institute to all the budding entrepreneurs, thinkers and businesses to share and collaborate, will empower them with ideas for innovation and business development."