“For this culture of start-ups to reach the far-flung parts of the country, it has been decided to celebrate January 16 as National Startup Day”, he said, according to a statement from the Prime Minister’s Office.
India’s Prime Minister, Narendra Modi, has declared that the country will celebrate January 16 as National Startup Day every year. Friendly taxation policies, an 80% reduction on patent documentation fees, and a provision of no tax on earnings or capital income for three years were among the measures announced by the government to help startups settle in. The government has also committed Rs. 10,000 crore funds to help and support startups in India. He also noted that India has moved up to 46th place in the global innovation ranking, from 81st place previously.
After the United States and China, India has emerged as the world’s third-largest start-up ecosystem. There are around 60,000 new start-ups. The industry is expanding at an incredible speed that shows no signs of slowing down. Despite the lockdown and pandemic, the years 2020 and 2021 saw record-breaking fundraising, with Indian startups raising $42 billion in 2021, up from $11.5 billion in 2020, according to reports. As the pandemic crisis proved, innovation is a crucial driver of India’s corporate and economic growth, with startups fighting tooth and nail to keep it going during the pandemic.
“The announcement affirms and encourages our skilled entrepreneurs to contribute to the country’s needs by fostering innovation. This move will help to spread startup culture to the grassroots and enhance the country’s startup ecosystem. We are confident that India’s startups are being properly recognised and will undoubtedly contribute to the country’s economic growth.” — Bala Sarda, Founder & CEO, VAHDAM India highlights.
The Indian startup ecosystem is undergoing a revolution that is having a massive local and global influence, and it is quickly becoming the backbone of the ‘new’ India. While India’s entrepreneurial climate has been particularly encouraging, this is a promising sign of much more administrative assistance to come in the near future. Startups are not only carving out their own niche, but they are also assisting enterprises in expanding their businesses and innovating. Successful startups have turned into money-making machines for their founders, staff, and investors.
“This official recognition will encourage the younger generation to think outside the box and continue to explore new areas in order to contribute to our country’s economic prosperity. Indian startups have piqued the interest of investors from around the world, who see significant prospects in a variety of sectors,” states Zafar Imam, CEO, FinShell.
