Over 1.2 Lakh DPIIT-Recognised Startups Surge Creating More Than 12.4 Lakh Jobs

New Delhi, Jul 25 (KNN) In a remarkable testament to India's entrepreneurial spirit, the number of startups recognised by the Department for Promotion of Industry and Internal Trade (DPIIT) has skyrocketed to over 1.2 lakh as of March 2024. 

This represents a staggering growth from just 300 recognised startups in 2016, according to the latest economic survey.

The burgeoning startup ecosystem has become a significant job creator, with DPIIT-recognised startups generating more than 12.4 lakh direct jobs. This surge in employment opportunities underscores the vital role startups play in India's economic landscape.

Government initiatives have been instrumental in fostering this growth. The survey highlights "sustained efforts by the government spanning simplification and handholding, funding support and incentives, and industry-academia partnership and incubation" as key factors driving the startup boom.

One of the most encouraging trends is the decentralisation of the startup ecosystem. Over 45 per cent of recognised startups are now emerging from tier two and three cities, indicating that entrepreneurship is no longer confined to metropolitan areas. This widespread growth is democratising opportunities across the country.

The startup revolution is not limited to traditional sectors. As of FY24, more than 13,000 DPIIT-recognised startups are operating in cutting-edge fields such as artificial intelligence (AI), the Internet of Things, robotics, and nanotechnology. 

The survey notes that "with 16 per cent of the world's AI talent, India positions itself as an innovation hub, showcasing rapid adoption of AI skills."

India's startup ecosystem has also seen the rise of over 100 unicorns, spanning diverse sectors from fashion and grocery to SaaS and AI. Several of these companies have successfully gone public, further solidifying the ecosystem's maturity.

The government's Fund of Funds scheme has played a crucial role in providing capital support. By the end of FY24, more than Rs 10,500 crore had been committed to over 135 alternative investment funds, which in turn invested more than Rs 18,000 crore in startups. 

This initiative has been pivotal in "facilitating the raising of domestic capital, reducing dependence on foreign capital and encouraging homegrown and new venture capital funds," the survey states.

As India's startup ecosystem continues to evolve and expand, it is poised to play an increasingly significant role in the country's economic growth, job creation, and technological advancement. 

(KNN Bureau)