Bhubaneswar: Odisha’s startup ecosystem has witnessed steady growth under the Centre’s Startup India initiative, with 4,123 entities receiving recognition from the Department for Promotion of Industry and Internal Trade (DPIIT) as startups as of June 30, 2026, Union Minister of State for Commerce and Industry Jitin Prasada informed the Rajya Sabha on Friday.
The state has also emerged as a beneficiary of several Central government initiatives aimed at fostering innovation, entrepreneurship and access to finance, with startups receiving support through seed funding, venture capital investments, credit guarantees and incubation programmes.
In a written reply to a question by BJD Rajya Sabha MP Dr Santrupt Misra, Prasada said 10 incubators in Odisha have been selected under the Startup India Seed Fund Scheme (SISFS). So far, 166 startups from the state have been approved for seed funding under the scheme.
The minister said 11 Odisha-based startups have secured investments through Alternative Investment Funds (AIFs) backed by the Fund of Funds for Startups (FFS), while four startup loans have been guaranteed under the Credit Guarantee Scheme for Startups (CGSS), helping entrepreneurs gain easier access to institutional credit.
Prasada said the Centre is extending financial support to startups through three flagship initiatives—the Fund of Funds for Startups (FFS) and Startup India Fund of Funds 2.0, which facilitate equity and equity-linked investments through SEBI-registered AIFs; the Startup India Seed Fund Scheme (SISFS), which provides grants, debt and convertible instruments through selected incubators; and the Credit Guarantee Scheme for Startups (CGSS), which offers guarantee cover to lenders to improve credit availability for startups.
Highlighting the government’s push towards innovation-led entrepreneurship, the minister said the recently operationalised Startup India Fund of Funds 2.0, with a corpus of Rs 10,000 crore, is designed to mobilise venture and growth capital for startups. The scheme places special emphasis on deep-tech ventures, manufacturing-focused startups, micro venture capital funds and sector-specific investment vehicles.
The government has also introduced a separate ‘Deep Tech Startup’ category under the Startup India initiative. Under the revised eligibility norms, deep-tech startups can retain DPIIT recognition for up to 20 years from incorporation, while the turnover ceiling has been enhanced to Rs 300 crore in recognition of the longer gestation periods and higher capital requirements associated with advanced technology ventures.
Prasada further outlined several national initiatives supporting emerging technology enterprises. These include the GENESIS Scheme for startups in Tier-II and Tier-III cities, the National Quantum Mission, the IndiaAI Mission and the Design Linked Incentive (DLI) Scheme under the Semicon India Programme to promote semiconductor design and chip development.
In the defence sector, startups are being encouraged through DRDO’s Technology Development Fund, the Dare to Dream innovation contest, Innovations for Defence Excellence (iDEX) and ADITI. The Centre is also promoting innovation through the Anusandhan National Research Foundation (ANRF), IN-SPACe’s space entrepreneurship programmes and the recently launched Rs 1 lakh crore Research Development and Innovation (RDI) Scheme, which aims to provide long-term financing for research-intensive projects undertaken by startups, MSMEs and private enterprises.
The minister said the government continues to strengthen India’s startup ecosystem through policy reforms, fiscal incentives and ecosystem-building initiatives such as the States’ Startup Ranking, National Startup Awards, Innovation Week, TEJAS and Startup Mahakumbh. These measures, coupled with efforts to improve ease of doing business and expand market access, are intended to help startups scale up operations and drive innovation-led economic growth across the country.
