India announced a new fund of funds of $ 1.15 billion for new companies on Saturday while presenting radical regulatory reforms and an ambitious nuclear energy program, since New Delhi seeks to boost technological innovation and clean energy in the fifth largest economy in world.
The Minister of Finance, Nirmala Sitharaman, which presents the federal budget by 2025-26, said that the fund is based on previous starting programs that have already deployed more than $ 1 billion of alternative investment funds. The new fund will have an “extended scope” compared to previous initiatives, although the specific approach areas were not detailed in the budget.
He also described the plans for a high -level committee for regulatory reforms that review all regulations, certifications, licenses and permits of the non -financial sector within a year. The initiative aims to strengthen “trust -based economic governance” and relieve compliance loads for new companies and technology companies, he said.
Nueva Delhi will explore the creation of a separate deep technological funds to catalyze new next generation companies that work in advanced technologies, part of a broader impulse to strengthen the position of India in emerging technological sectors.
These measures are produced as the Indian start ecosystem arises as a great job creator and A source of pride For the country, whose broader economy is projected that will grow between 6.3% and 6.8% in next year. The Government is betting on innovation and entrepreneurship to help achieve its longest objective of a growth of 8% necessary to create appropriate jobs for its young population.
The new companies in India have attracted more than $ 100 billion in the last decade of investors such as Norges, SoftBank, Sequoia, Accel, Tiger Global, General Catalyst and General Atlantic. Home of more than 100 new unicorn companies, India has also consolidated its place as perhaps the last major growth market for Silicon Valley giants.
“The first fund held a few years ago gave the Indian risk capital industry a great filling,” said Sanjeev Bikhchandani, a high profile investor that is among the first sponsors of Zomato and Pollybazaar. “Dozens of Indian VC funds were established that provide risk capital to hundreds of new companies. India needs national risk capital. “
The Government also announced a nuclear energy mission of $ 2.3 billion aimed at developing at least five small indigenous modular reactors by 2033. The program is part of India’s objective to reach 100 gigawatts of nuclear energy capacity by 2047, with amendments planned to the Atomic Energy Law to enable private sector participation.
“We are determined to ensure that our regulations are maintained up to date with technological innovations and global policy developments,” Sitharaman said in his budget speech, announcing plans to decriminalize more than 100 provisions in several laws through a new bill by Jan Vishwas.
The Government also extended the tax benefits for new companies for five years, allowing companies incorporated before April 2030 to claim certain deductions. For new companies in 27 sectors considered crucial for the self -sufficiency objectives of India, the Government reduced 1% guarantee rates while doubled by its credit guarantee limit to $ 230,000.
A new scheme aimed at 500,000 first -time entrepreneurs, particularly women and those of scheduled castes and tribes, will provide loans for up to $ 24,000 in the next five years. The program is based on the lessons of the existing Indian stand-up scheme, said the minister, with the aim of expanding the scope of the starting ecosystem.
To boost innovation in electronic manufacturing, a key approach area for new technology companies, the Government introduced a presumptive tax scheme for non -residents involved in the establishment of manufacturing facilities. The budget also proposes “Bharattradenet”, a unified platform for commercial documentation and financing solutions that could benefit new Fintech companies.