Maharashtra to establish Innovation City similar to GIFT City: CM Fadnavis

He added that the state is planning to finalise a new startup policy in the next two months, which would be opened to the public for consultation and comments

Maharashtra will establish an Innovation City similar to the Gujarat International Finance Tec-City (GIFT City) to nurture the startup ecosystem in the state, Chief Minister Devendra Fadnavis said on Thursday.

 

He said that the state will come up with a new startup policy in the next two months which would be opened to the public for consultation and comments. 

 

“We will create an Innovation City in the same way we have created the GIFT City to focus on innovation. In the next two months, the most progressive startup policy will be made by Maharashtra and the draft policy will be made available to everyone for suggestions,” he said. 

 

 

Fadnavis was speaking at a startup and technology forum in Mumbai on the occasion of National Startup Day. 

 

The chief minister announced partnerships including a Memorandum of Understanding (MoU) with the SIDBI (Small Industries Development Bank of India) to establish a Rs 100 crore fund. 

 

“We have signed an MOU with SIDBI. Earlier, funds which were managed at Mumbai. Now, a 30 crore fund will be available at every divisional centre,” he added. 

 

He added that the state hosted over 25,000 startups at present. 

 

“Maharashtra is number one state by investment and value as well which makes it the startup capital. I have always said that startup capital is not Bangalore. Yes, they have done very well. I congratulate them,” he said. 

 

However, he added that the startup capital of India was in Maharashtrian cities such as Mumbai, Pune, Nagpur, Nashik and Chhatrapati Sambhaji Nagar. 

 

In 2024, tech funding in India was recorded at $11.3 billion. This was a 4 per cent increase from $10.9 billion raised in 2023. 

 

Bengaluru-based tech firms accounted for 32.16 per cent of all tech funding, followed by Mumbai at 26.12 per cent in 2024, according to data from market intelligence platform Tracxn. Bengaluru secured $3.6 billion in funding, followed by Mumbai’s $3 billion.

 

In total, Mumbai has raised $25.6 billion in funding with Bengaluru’s tech funding recorded at $75.1 billion. 

 

Fadnavis added that the state has created a fund of funds (FoF) in the defence sector. He highlighted that 300 micro, small and medium enterprises (MSMEs) and startups in this space were funded by the state’s FoFs. 

 

“To take the startup revolution forward, the government has reduced the compliance burden. Now, we have enabled tax exemptions, fast tracked patent applications, enabled self-identification under labour and environmental laws, affordable internet services, skilled workforce and innovative thinking power,” he said. 

 

He noted that the state is working to convert IT-powered Industrial Training Institutes (ITIs) into small centres of experience in artificial intelligence. 

 

“We can create an ecosystem that will empower all our startups to enter into the space of AI by partnering with universities,” he said.