Startup India, Standup India initiative gets Rs 500 cr grant in budget

NEW DELHI: Union Finance Minister Arun Jaitley has allocated Rs 500 crore for Startup India, Standup India initiative in his budget speech for 2016–17.

Startup India campaign is based on an action plan aimed at promoting bank financing for start-up ventures to boost entrepreneurship and encourage start ups with jobs creation.

The campaign was first announced by the Prime Minister in his 15th August, address from the Red Fort.

It is focused on to restrict role of States in policy domain and to get rid of “license raj” and hindrances like in land permissions, foreign investment proposal, environmental clearances. It was organized by Department of Industrial Policy and Promotion (DIPP).

A startup is an entity that is headquartered in India which was opened less than five years ago and have an annual turnover less than ₹25 crore. The government has already launched PMMY, the MUDRA Bank, a new institution set up for development and refinancing activities relating to micro units with a refinance Fund of ₹200 billion.

The Standup India initiative is also aimed at promoting entrepreneurship among SCs/STs, women communities