UP allocates Rs 1k cr to Startup Fund to support innovative biz ventures

Soonicorns, minicorns on radar

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The Uttar Pradesh government has allocated Rs 1,000 crore to the UP Startup Fund to support innovative business ventures and boost the startup ecosystem.

Of 108 unicorns in India, UP accounts for eight -- Paytm, Paytm Mall, India Mart, Moglix, Pine Labs, Innovaccer, InfoEdge, and Physics Wallah. 

The state has also created a network of more than 60 incubators to fund startups.

“Efforts are being made to promote startups in advanced areas, such as artificialiIntelligence (AI), drones, med-tech, blockchain, 5G, 6G, quantum computing, additive manufacturing, space tech, etc,” a senior government official said.

Besides, the state is taking steps to promote soonicorns and minicorns.

Unicorn is a privately held startup with a valuation of over a $1 billion, while soonicorn or soon-to-be unicorn is a startup with a strong growth potential and prospects of turning into a unicorn.

Currently, two soonicorn startups -- Class Plus and InShorts -- are working in the state.

“The state’s startup ecosystem also includes ‘minicorns’. This shows the diverse range of enterprises flourishing under the Yogi Adityanath government’s policy framework,” the official said.

The state had set a target of 10,000 startups by 2025, which it claims, is already achieved.

According to a KPMG report, UP possesses the fourth-largest startup ecosystem in the country.

There are startups in all 75 districts of the state with 49 percent emerging from the Tier-II and Tier-III cities. The ecosystem has created more than 100,000 employment opportunities in the state.

Agri-tech startups are also developing in the state and providing employment and socioeconomic growth opportunities.

Meanwhile, the UP Council of Science & Technology (CST) has rolled out a programme to identify innovative ideas by students and provide seed capital in selected startup ideas.

Principal Secretary (science & technology) Narendra Bhooshan said the CST would help students commercialise their innovations. Recently, the CST announced to invest Rs 14 crore in 109 research proposals.