Government to Make Bihar Leader in Startup Sector

• 18 Jan 2024

Why in News?

According to the State industry minister Samir Kumar Mahaseth, the government was working on a mission to make Bihar a leader in the field of startups.

Key Points

• According to the minister at the Bihar Startup Awards 2024 event at Adhiveshan Bhawan on the occasion of National Startup Day (16^th January), Bihar will grow as its startup sector grows.
• At the event awards were presented to several startups active in the state including:
  • Medivisor Pvt Ltd received the Best Startup of the Year award, Ved Prabha Aerospace Pvt Ltd. emerged first runner-up, and Biro Power Pvt Ltd second runner-up in this category.
• Awards were also given in various categories, including women’s leadership, agriculture, information technology, e-commerce, electric vehicles and Educational technology.
• Under the Bihar Startup Policy to the entrepreneurs:
  • Interest-free seed funding of up to Rs 10 lakh is provided to budding entrepreneurs for a period of ten years.
  • A 5% higher amount is allocated as seed funding to startups initiated by women, and 15% more for startups led by scheduled castes/scheduled tribes and differently-abled individuals.
  • A grant of up to Rs 3 lakh is given to individuals participating in acceleration programs.
  • If investments are received from registered entities and angel investors, matching loans of up to Rs 50 lakh are also provided.

National Startup Day

• It is observed annually on 16^th January to appreciate and promote the Indian Startup Ecosystem.
• Startup India initiative was launched on 16^th January, 2016, with a vision to cultivate innovation, support startups, and stimulate investments.
• It encompasses initiatives like the Seed Fund scheme and Credit Guarantee Scheme, further aiding startups.
• India has emerged as the 3^rd largest ecosystem for startups globally as of 31^st May 2023.
  • India ranks 2^nd in innovation quality with top positions in the quality of scientific publications and the quality of its universities among middle-income economies.