Indian Economy News

Government recognizes more than 55,200 startups during 2025-26, highest ever in a single year since launch of Startup India initiative

The Startup India initiative continues to demonstrate strong momentum, with the Government recognizing over 55,200 startups in 2025- 26, the highest ever in a single year since its launch. The total number of recognized startups has now crossed 2.23 lakh as of March 31, 2026, generating more than 23.36 lakh direct jobs across the country. Nearly 48% of these startups, over 1.07 lakh, have at least one-woman director or partner, highlighting growing inclusivity in the entrepreneurial ecosystem. Year-on-year growth has remained robust, with startup recognition rising by 51.6% and job creation increasing by 36.1% in 2025-26 compared to the previous year. Startups are now present across all States and Union Territories, with Maharashtra, Karnataka, Uttar Pradesh, Delhi and Gujarat emerging as leading hubs for innovation and employment generation.

The Government has further strengthened financial and institutional support through key schemes such as the Fund of Funds for Startups (FFS), Startup India Seed Fund Scheme (SISFS), and Credit Guarantee Scheme for Startups (CGSS). Under FFS, more than Rs. 7,000 crore (US$ 754.38 million) has been disbursed to over 135 Alternative Investment Funds, which have invested over Rs. 26,900 crore (US$ 2.90 billion) in more than 1,420 startups. Additionally, a new fund allocation of Rs. 10,000 crore (US$ 1.08 billion) has been approved under Fund of Funds 2.0. The CGSS has also been expanded, with over 410 loans worth more than Rs. 1,250 crore (US$ 134.71 million) guaranteed. Meanwhile, under SISFS, Rs. 945 crore (US$ 101.84 million) has been committed, supporting over 3,400 startups. Increased patent filings (over 4,480 in 2025-26) and growing participation on Government e-Marketplace (GeM) further underline the strengthening innovation and procurement ecosystem.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.