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DPIIT Recognised Startups Drive Economic Growth in Tamil Nadu

Updated: Feb 13, 2024 04:12:14pm

DPIIT Recognised Startups Drive Economic Growth in Tamil Nadu

Chennai, Feb 13 (KNN) The Startup India Seed Fund Scheme (SISFS) stands out as a beacon of hope for seed-stage startups, offering vital financial aid through approved incubators.

With a substantial corpus of Rs. 945 crore, SISFS has allocated Rs. 86.10 crore to 20 incubators in Tamil Nadu alone.

As of December 31, 2023, Rs. 43.63 crore has already been disbursed to these approved entities.

Meanwhile, the Fund of Funds for Startups (FFS), operationalised by the Small Industries Development Bank of India (SIDBI), aims to catalyse venture capital investments.

With a massive corpus of Rs. 10,000 crore, FFS has allocated Rs. 500 crore to six Alternative Investment Funds (AIFs) in Tamil Nadu.

As of the end of December 2023, Rs. 384 crore has been disbursed to these funds.

Additionally, the Credit Guarantee Scheme for Startups (CGSS) has been a game-changer in facilitating collateral-free loans to DPIIT-recognised startups.

Operationalised by the National Credit Guarantee Trustee Company (NCGTC) Limited, CGSS has already disbursed 5 loans amounting to Rs. 8.65 crore to eligible startups in Tamil Nadu as of December 31, 2023.

The impact of these initiatives is evident in the significant rise in the number of DPIIT-recognised startups.

From just over 300 in 2016, the number has surged to an impressive 1,17,254 by the end of December 2023. Specifically, Tamil Nadu boasts 7,559 recognized startups, showcasing the state's vibrant entrepreneurial landscape.

Union Minister of State for Commerce and Industry, Shri. Som Parkash, highlighted these achievements in a written reply in the Rajya Sabha.

The initiatives under the Startup India umbrella are inclusive, reaching startups across various regions, including towns, cities, and rural areas in Tamil Nadu.

With robust financial support and conducive policies, the Government is nurturing a conducive environment for startups to thrive, fostering innovation, job creation, and economic growth in Tamil Nadu.

(KNN Bureau)


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