Budget 2025: Nirmala Sitharaman Announces ₹10,000 Crore Fund for Startups

Finance Minister Nirmala Sitharaman presented the Union Budget for 2025-26, bringing important updates for startups in India.

One of the key announcements is a ₹10,000 crore Fund of Funds to support early-stage startups.

This fund will operate through SEBI-registered Alternative Investment Funds (AIFs), which will invest in promising startups through equity and equity-linked instruments.

Helping Startups Grow

The government is focused on supporting new businesses and encouraging innovation.

By providing more funding, the goal is to strengthen the startup ecosystem, create jobs, and boost economic growth.

The initiative also aims to increase Indian investors’ participation in funding local startups, ensuring that homegrown businesses receive the necessary financial support.

Easier Access to Funds

This fund will add to the financial assistance already available for startups, making it easier for entrepreneurs to get the capital they need.

The government is also working on simplifying regulations and reducing obstacles so that startups can concentrate on expanding their businesses.

India Post to Assist Entrepreneurs

Another major decision in this budget is transforming India Post into a large public logistics organization.

This move will benefit new entrepreneurs, women-led businesses, self-help groups, and small enterprises (MSMEs) by improving market access and supply chain solutions, particularly in rural areas.

Strengthening India’s Economy

The announcements in Budget 2025 show the government’s focus on economic growth.

By supporting startups and small businesses, these initiatives will promote innovation, create job opportunities, and help India establish itself as a global startup hub.

With these measures, startups in India can expect better financial support, an improved business environment, and more opportunities to succeed.

Also Read: Hindustan Unilever Acquires Minimalist for ₹2,955 Crore

Muskan, a passionate storyteller and social media manager at Startup Forte. With a talent for sharing impactful founder stories, she invites you to explore inspiring journeys with us.

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