The number of DPIIT-recognised startup count crossed the 1.15 lakh mark as per the Economic Survey 2023-24 presented by the Union Finance Minister Nirmala Sitharaman in Parliament today. The stat shows a massive growth as compared to the count of 300 in 2016.
The survey indicated that 13,000 of the total startups are based on emerging startup sectors such as artificial intelligence, robotics, internet of things, and nanotechnology. Further, 45% of the startups originated in Tier 1&2 cities.
The Finance Ministry released a statement, “Indian startups are spearheading innovation in the country with startups filing more than 12,000 patent applications from 2016 to March 2024.”
Government initiatives had much to do with the growth in the startup expansion in India through “simplification and handholding,” “funding support and incentives” and “industry-academia partnership and incubation,” the 476-page Economic Survey further mentioned.
As part of the Startup India Initiative, startups can get recognized by DPIIT (Department for Promotion of Industry and Internal Trade) and subsequently avail of benefits such as tax benefits, IPR fast-tracking, and easier compliance among others. The startup’s annual turnover should be below Rs 100 crore in any of its previous financial years and it should be registered as a private limited company, a partnership firm, or a limited liability partnership.
As per the survey, homegrown startups received funding worth 18,000 crore from around 135 alternative investment funds as of FY24 end. Indian startups have managed to raise funds worth $5.3 billion in the first half of 2024 which is 2% less as compared to the first half of 2023.
