HomeLatest NewsStartupsDelhi government outlines startup policy with ₹325 crore plan

Delhi government outlines startup policy with ₹325 crore plan

Delhi government has outlined plans for a new startup policy with a proposed outlay of ₹325 crore over five years, aimed at supporting up to 5,000 startups by 2035.

Preferred Source of Google

Delhi has outlined plans for a new startup policy with a proposed outlay of ₹325 crore over five years, aimed at supporting up to 5,000 startups by 2035, though detailed implementation timelines and funding mechanisms have yet to be specified.

The announcement was made on Thursday at a government-backed startup event in New Delhi focused on student entrepreneurship. Officials said the policy is intended to strengthen links between educational institutions and markets through incubation support, mentorship and seed funding.

According to the government, more than 470 startups are currently being incubated through public institutions in Delhi, with officials estimating combined revenues of ₹500–600 crore. Officials also said these ventures generate several per startup, although independent verification of these figures is not available.

Advertisement
VeeamON 2026 Tour India - Delhi
VeeamON 2026 Tour India - Delhi
A VeeamON 2026 India Leadership Series Delhi for senior public sector and government technology leaders.
Register Now →
Infosec Reimagined
Infosec Reimagined
Infosec Reimagined 2026 is the premier information security summit where top leaders—CISOs, CROs, CIOs, CTOs and risk executives—converge to redefine cyber resilience.
Register Now →
Digital Senate
Digital Senate
Digital Senate is a premier conference uniting government leaders, technologists and innovators to share ideas, success stories and strategies on digital governance, public sector transformation, cybersecurity and emerging technologies in India.
Register Now →
CIO Prism
CIO Prism
CIO Prism unites forward-thinking technology leaders to exchange transformative insights, shape digital strategies, and foster innovation, empowering enterprises to excel in an era of rapid technological change.
Register Now →

Ashish Sood, Delhi’s minister for and technical training, said the policy would continue the government’s practice of offering equity-free grants of up to ₹10 lakh to selected early-stage startups, alongside smaller grants for a broader group of student-led ventures.

At the event, officials announced a shortlist of 100 student startups selected from more than 750 .

India has seen rapid growth in the number of registered startups over the past decade, driven by digital adoption and government recognition programmes.

Advertisement

However, many founders note that high startup counts do not necessarily translate into sustainable businesses, with many ventures struggling to scale amid funding constraints, regulatory complexity and uneven market access.

Government-supported incubation and grant schemes have helped lower entry barriers for first-time founders, but long-term outcomes depend largely on private investment, customer demand and the ability of startups to survive beyond early funding stages.

A policy roundtable held alongside the event discussed challenges faced by startups at different stages of growth, including access to capital and execution hurdles. The government said the proposed policy is aligned with national programmes such as Startup India and Skill India.

Get the day's headlines from Tech Observer straight in your inbox

By subscribing you agree to our Privacy Policy, T&C and consent to receive newsletters and other important communications.
Tech Observer Desk
Tech Observer Desk
Tech Observer Desk at TechObserver.in is a team of technology reporters led by a senior editor who brings latest updates and developments from the world of technology.
- Advertisement -
Powered By Veeam Logo
- Advertisement -

Subscribe to our Newsletter

By subscribing you agree to our Privacy Policy, T&C and consent to receive newsletters and other important communications.
- Advertisement -

BHASHINI launches VYOMA Challenge with ₹80 lakh prize for offline AI solutions

The Digital India BHASHINI Division has launched the VYOMA Innovation Challenge with prizes worth ₹80 lakh for multilingual AI solutions that work offline. Twenty shortlisted teams will receive developer kits and mentorship.

RELATED ARTICLES