MUMBAI (Reuters) - The state-run Small Industries Development Bank of India (SIDBI) opened a fund-of-funds on Tuesday with initial capital of 20 billion rupees ($306 million) to help finance local start-ups.
Life Insurance Corp of India, the nation's biggest insurer, will partner with the India Aspiration Fund, and co-invest along with SIDBI in venture-capital funds, officials said.
Indian start-ups, mainly those in e-commerce, have attracted billions of dollars from foreign investors. Foreign capital was welcome, said Jayant Sinha, the minister of state for finance, but local venture capital needed to be strengthened to help finance start-ups other outside e-commerce.
He said the fund-of-funds can increase its capital to "as much as required".
($1 = 65.4316 Indian rupees)
(Reporting by Devidutta Tripathy and Himank Sharma, editing by Larry King)
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app