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DPIIT reports reveal government’s keen interest in promoting startups in small towns

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The government of India’s flagship initiative Startup India, which was launched in 2016, is set to enter a new phase of results and assessment with the number of startups set to increase quite rapidly in the next couple of years. By 2024, the government plans to double the startup count to 1 lakh.

A majority of new as well as old entrepreneurship stories have always come from bigger cities like Delhi, Mumbai, Bengaluru, etc. According to the Department for Promotion of Industry and Internal Trade (DPIIT) secretary Guruprasad Mohapatra, the government is planning to create an ideal environment in smaller towns so that successful business stories do not remain within the bounds of megacities.

During a panel discussion on ‘Startup, the Asian Century’ at the India summit of the World Economic Forum, Mohapatra said, “There is an attitudinal change about start-ups in various departments of the government.” He also suggested the need for a set of regulatory measures from the government side so that entrepreneurship sees a prospering time across India.

Since the success umbrella of Startup India is widening each passing year, it has become very important to bring everyone under it. For the comprehensive development of India, the inclusion of business minds from cities like Indore, Patna, Guwahati, Madurai, etc. is among the foremost thing that the government should focus on. Steps suggested in the latest meeting of the DPIIT is expected to boost the economic welfare of India’s Tier-II and Tier-III cities.

DPIIT is set to get the approval of cabinet for the preparation of a comprehensive data, keeping in mind the 5-year planning under the Startup India program. The 2024 vision plan is expected to include measures like tax compliance reduction, debt financing, etc. The department also proposes setting up innovation zones at local level, Rs 10, 000 of funds, credit guarantee scheme, etc.

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