Government Boosts Startup India with Rs 10,000 Cr Fund, Seed and Credit Support

New Delhi, July 25, 2025:The Government of India has reaffirmed its commitment to nurturing a robust startup ecosystem through key flagship schemes under the Startup India initiative, launched in January 2016. These include the Fund of Funds for Startups (FFS), Startup India Seed Fund Scheme (SISFS), and Credit Guarantee Scheme for Startups (CGSS).

According to a written reply by Minister of State for Commerce & Industry Shri Jitin Prasada in the Rajya Sabha, the FFS has committed ₹9,994 crore to 141 Alternative Investment Funds (AIFs), which in turn invest in startups across various sectors. These AIFs are mandated to invest at least twice the FFS contribution in startups.

The SISFS, operational since April 2021, has approved ₹945 crore to 219 incubators to support seed-stage startups. The CGSS, launched in April 2023, enables collateral-free loans to startups through recognized financial institutions. As of June 2025, ₹667.85 crore worth of loans have been guaranteed under this scheme across 289 startups.

In parallel, the Ministry of Skill Development and Entrepreneurship is implementing Project Swavalambini in collaboration with NITI Aayog and its Women Entrepreneurship Platform. The pilot project, rolled out in states like Uttar Pradesh, Telangana, and Assam, aims to build entrepreneurial capacity among women students. So far, 591 students have participated in entrepreneurship awareness programs, while 43 faculty members have completed Faculty Development Programs (FDPs).

These multi-pronged efforts signify the government’s long-term vision of fostering innovation, self-reliance, and inclusive entrepreneurship across India.

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