SVB fallout: Present imperfect, future tense for Indian start-ups

Though many of them expect limited near-term impact, lack of SVB-like support system may pinch them later

Indian start-ups breathed a sigh of relief after the UK government facilitated the acquisition of the now-defunct Silicon Valley Bank’s (SVB’s) British arm by HSBC. 

In a bid to allay fears, the US Federal Deposit Insurance Corporation (FIDC) announced on Sunday that it had transferred all deposits of start-up-focused SVB to a newly created bridge bank and all depositors would have access to their money beginning Monday morning. President Joe Biden also sought to reassure jittery depositors that they can have confidence that the US banking system is “safe”.

“The government is bailing out depositors, and that ensures continued faith in the