An interesting news for all startups and entrepreneurs the commerce industry ministry has proposed a $310 million that is Rs 2,000 Crore credit guarantee scheme for startups in order to help them access funds.
In a written reply to Lok Sabha, Commerce and Industry Minister Nirmala Sitharaman, said, “For the scheme, a corpus contribution of Rs 2,000 Crore is proposed keeping in mind the challenges faced by startups in accessing funds.”
In June 2017 DIPP Secretary Ramesh Abhishek made an announcement at the Startup India Hub launch saying, that by the end of July 2017 the Union Cabinet is expected to approve the $ 310 Million (Rs 2,000 Cr) funds for startups.
A credit guarantee of up to $ 7.7 million (Rs 49.5 Cr) per case will be provided with the proposed scheme, inclusive of a term loan, working capital or any other instrument of assistance. The can be extended by member lending institutions to finance an eligible startup recognised by the DIPP.
It has also been reported that the minister is considering to set up a Startup Coast in Karnataka to promote entrepreneurs in South India, as a part of efforts by the Indian government.
For further details and information Click Here