In a major push to PM Modi’s ambitious ” Startup India” campaign, government on Thursday announced a five-fold increase in its budget for funding startups in next fiscal.
As proposed by Ashutosh Sharma, secretary, department of science and technology (DST), in fiscal 2016-17 government would be provide a seed capital to 50-80 new ventures with funding ranging from Rs 50 lakh to Rs 1 crore per company.
The overall funding towards startups in next fiscal has been increased from Rs 40 crore to Rs 200 crore.
“Sixty per cent of the funding would go to companies that are into hardware and manufacturing business. More importantly, the proposal will be thoroughly scanned before giving money to the start-ups,” said Sharma.
Government will also open 25 new technology-business incubators to provide relevant training. Budget of Rs 10 crore has been allocated for creating “world class” incubators.