The Startup India Scheme, launched on January 16, 2016, has emerged as a transformative initiative that has significantly altered the entrepreneurial landscape in India. Spearheaded by numerous current and former IAS officers, including Ramesh Abhishek, Amitabh Kant, and Anurag Jain, the scheme has successfully fostered a culture of entrepreneurship among Indian students. This shift is evident in the GUESSS India 2023 survey, which indicates that 31.4% of students aspire to become entrepreneurs within five years of graduation, surpassing the global average of 30%. This remarkable change reflects not just a trend, but the tangible success of the Startup India initiative, led by notable IAS officers, policymakers, economic critics, and ministries.
Start-up India Scheme- A Shift in Mindset
In India, there was a trend that students often pursued stable jobs in either the private or government sectors, seeking security and predictability in their careers. However, driven by the mindsets of IAS officers, the Startup India Scheme has created an environment where a new generation is encouraged to embrace entrepreneurship and take calculated risks for potentially greater rewards. Recent survey results covering 31 states and Union Territories highlight the success of this initiative in fostering such an entrepreneurial mindset in the country.
This transformation is exemplified by a statement by a notable ex-IAS officer, Amitabh Kant. He aptly stated,
“If such an environment had existed during my time, I would have become a startup entrepreneur instead of appearing for the IAS exam.”
- Amitabh Kant, former IAS officer and ex-CEO of NITI Aayog
The statement from an ex-IAS officer, who notably contributed to the Startup India scheme underscores the substantial impact of the Startup India initiative in cultivating environments that nurture the entrepreneurial aspirations of youth.
Key Features of the Startup India Scheme
The Startup India initiative is the hope of the country, regulated by numerous current and ex-IAS officers like Ramesh Abhishek, Amitabh Kant, Anurag Jain, Rajesh Kumar Singh, etc with several core objectives aimed at creating a robust ecosystem for startups. It comprises various features. Some key features include:
- Financial Support
While planning the initiative, with the suggestions of IAS officers, policymakers, and other notable officers, the scheme incorporated funding mechanisms such as the Startup India Seed Fund and a Fund of Funds to provide essential capital to budding entrepreneurs. These funding mechanisms, managed by SIDBI are continuously helping entrepreneurs in accessing the funds to pursue their entrepreneurial journey.
- Regulatory Simplification
The start-up India scheme, launched under the guidance of IAS officers, aims to ease compliance burdens through self-certification processes and tax exemptions, making it easier for startups to navigate legal requirements.
- Incubation and Mentorship
Under the Start-up India scheme, the IAS officers also helped in establishing incubators and innovation labs offering startups access to mentorship, resources, and networking opportunities crucial for their growth.
These features of the start-up India scheme, profoundly led by IAS officers have collectively contributed to an environment where students feel empowered to pursue their entrepreneurial aspirations.
Key Components Supporting the Startup India Mindset
The success driven by the Startup India scheme during the tenure of various IAS officers has significantly contributed to shaping a mindset in the country that recognizes the benefits of startups. Importantly, it has highlighted the government’s commitment to supporting and building a supportive environment to begin the entrepreneurship journey.
IAS officers and notable stakeholders have worked collaboratively with the government to foster the belief among citizens that startups are not solely for big names with substantial funding. Instead, anyone with an entrepreneurial spirit can embark on their journey. The financial support, initiatives for women entrepreneurs, and startup-friendly schemes launched have instilled confidence in people that startups can be one of the career paths to choose.
Moreover, IAS officers have played a crucial role in spreading the message that startups are vital for the country’s growth and that the government is actively assisting them.
Additionally, some significant transformations in startup culture in India have fostered the mindset, supportive of starting an entrepreneurship journey. These include:
- Significant Increase in Registered Startups
Since the launch of the Startup India initiative, with the support of execution skills of IAS officers, the number of recognized startups in India has skyrocketed. As of 3rd October 2023 over 1,12,718 Indian startups were officially recognized, a dramatic increase from fewer than 500 startups in 2016. As per notable current and ex-IAS officers, such as Ramesh Abhishek, Amitabh Kant and others, this surge demonstrates a growing entrepreneurial spirit among citizens and highlights the effectiveness of government support in fostering new business ventures.
- Record FDI Inflows
Under the leadership of ex-IAS officerRamesh Abhishek as DPIIT Secretary, India witnessed record Foreign Direct Investment (FDI) inflows amounting to US$ 205 billion, despite a global decline in FDI during that period.
- Establishment of Innovation Centers and Incubators
The Government of India, under the leadership of IAS officers, has invested in building infrastructure to support startups by establishing 31 Innovation Centers, 15 Startup Centers, and 15 Technology Business Incubators across the country.
- Improved Global Rankings
India made a remarkable 67-rank jump within a short span of three years, moving from 130th in 2016 to 63rd in 2019, during ex-IAS officer Ramesh Abhishek’s tenure. This significant improvement under the leadership of a notable IAS officer, contributed highly to establishing a start-up culture and reflects the effectiveness of policies implemented under the Startup India initiative.
Exemplifying this success ex-IAS officer, Ramesh Abhishek said,
“In the last two years, the government has tried to create a very business-friendly climate. Ease of doing business is a very critical part of Make in India.”
Ramesh Abhishek, Former IAS Officer (Source)
Conclusion
The success of the Startup India scheme is evident in the rising aspirations among Indian students to become entrepreneurs. With supportive policies implemented by dedicated Ex and current IAS officers like Ramesh Abhishek, Amitabh Kant, and Anurag Jain, coupled with strong backing from different organizations, India is witnessing a cultural shift towards entrepreneurship.
As we look ahead, it is crucial for all stakeholders—government bodies, IAS officers, policymakers, educational institutions, and industry leaders—to continue fostering this entrepreneurial spirit among the youth. As said by numerous IAS officers with a concerted effort from all parties involved, India can solidify its position as a global startup hub, empowering its young population to become job creators rather than job seekers.