Govt.planning to set up Credit Guarantee Fund for startups : Minister

Speed Post News Network

New Delhi : The Government is planning to set up a Credit Guarantee Fund (CGF) for encouraging start-up companies with a view to providing funding facilities in the country. Altogether 8,993 startups were recognised by Department of Industrial Policy and Promotion during the year 2018.

Incentives being provided to Startups under Startup India initiative include Selff-Certification under 6 Labour Laws & 3 Environmental Laws, Relaxations in Public Procurement Norms, Faster exit under the Bankruptcy Code, Rebates on Patent & Trademark filing fees, support from facilitators and expedited examination of Patent application, Income Tax exemption, Exemption from Income Tax on investments received above fair market value, Funding support under the Fund of Funds for Startups, and Guidance and facilitation support from Startup India Hub.

The Department of Industrial Policy and Promotion (DIPP) hosted Startup India Global Venture Capital Summit 2018 on  December 7, 2018, in Goa. It was a gathering of global fund managers, limited partners, officials from the Government of India and innovative startups. The event was attended by 30 Startups of which 27 were Indian Startups and 3 Startups were from the United States of America.

This information was given by the Minister of State of Commerce and Industry C R Chaudhary in a written reply to a question in the Lok Sabha on January 7, 2019, according to a PIB release.