Modi@11: How Startup India Became His Biggest Economic Success Story

As Prime Minister Narendra Modi completed 11 years in office on May 26, 2025, the media buzzed with analyses of his government’s achievements across economic, social, political, and geopolitical domains. Yet, among these, one initiative stands out for transforming not just the economy but the national psyche — Startup India. Over the past decade, what began as a policy push has evolved into a movement, energizing a generation and aligning with India’s vision of becoming a Viksit Bharat by 2047.

Igniting the Spark: A Decade of Startup India

When the government launched Startup India in January 2016, it aimed to ignite a wave of entrepreneurship. Nine years later, that spark has become a blaze. From garage startups to global IPOs, from Tier-III towns to tech hubs, Indian entrepreneurs have rewritten the rules of business. This transformation is fueled by a powerful combination of enabling policies, funding support, and a decisive shift in mindset.

A Movement, Not Just a Mission

Startup India has outgrown its bureaucratic origins. Today, it’s a nationwide movement. Over 1.76 lakh startups have received formal recognition, generating more than 19.13 lakh direct jobs. India now ranks as the third-largest startup ecosystem globally, boasting over 115 unicorns — a clear testament to the nation’s innovation potential.

What’s more remarkable is the geographic shift. Startups are no longer confined to the metros. More than 45% of them have emerged from Tier-II and Tier-III cities, breaking the stranglehold of Bengaluru, Delhi, and Mumbai. From Kochi to Kota and Surat to Shillong, the entrepreneurial spirit is spreading deep into the heart of India.

Beyond Tech: Innovation Across Sectors

Today, Indian startups span over 55 industries, reflecting a robust and diverse innovation economy. While IT services, healthcare, life sciences, education, and agriculture lead in volume, the real story lies in the breadth of solutions.

A biotech firm in Chandigarh is pioneering low-cost cancer diagnostics. A B2B SaaS company in Jaipur is solving logistics inefficiencies at scale. Across the board, Indian startups are tackling real-world problems with measurable impact.

The Government’s Startup Playbook: Policies That Worked

The ecosystem’s explosive growth owes much to the government’s targeted interventions:

• Startup India Seed Fund Scheme (SISFS)
  To support early-stage innovation, SISFS allocated ₹945 crore to 219 incubators, which have already disbursed over ₹500 crore to 2,800+ startups.
• Fund of Funds for Startups (FFS)
  FFS, via AIFs, has infused ₹22,900 crore into 1,270 startups, making it one of the world’s most effective public-private capital vehicles.
• Credit Guarantee Scheme for Startups (CGSS)
  Launched in 2023, this scheme has backed 260+ loans worth over ₹600 crore, offering collateral-free credit to founders.
• Tax Incentives
  More than 3,700 startups have secured tax holidays under Section 80-IAC, easing early-stage financial stress.

The Rise of Women Entrepreneurs: A Quiet Revolution

Perhaps the most profound transformation has been the rise of women in leadership roles. Today, over 45% of recognized startups include at least one woman director or founder.

Key figures:

• ₹3,100 crore+ invested in 140+ women-led startups through AIFs
• ₹220 crore+ approved under SISFS to 1,200+ women-led startups
• ₹24 crore+ in CGSS-backed loans to female founders

Women entrepreneurs are increasingly leading in health tech, fintech, D2C brands, edtech, and agritech — sectors that blend innovation with impact.

Policy Meets Procurement: Levelling the Playing Field

Beyond funding, the government has used procurement and policy to amplify startup opportunities.

• 30,000+ startups have secured orders worth over ₹38,500 crore through GeM (Government e-Marketplace).
• The scrapping of Angel Tax for all investors has removed a key friction point in early-stage fundraising.
• The launch of BHASKAR (Bharat Startup Knowledge Access Registry) is now unifying India’s scattered startup intelligence systems.

Big Money, Global Stage

Since 2014, Indian startups have attracted nearly $150 billion in private capital, including venture and private equity investments. Even amid global slowdowns, India has remained a top destination for institutional capital.

Strategic global engagements have added momentum:

• 20+ international collaborations for co-innovation
• Hosting of the Startup20 Engagement Group under India’s G20 Presidency in 2023, marking India’s global leadership in startup diplomacy

Innovation Boom: Patents, Trademarks, and IP Culture

India’s climb in the Global Innovation Index — from 81 in 2015 to 39 in 2024 — reflects a maturing ecosystem. Startups are no longer just building products; they’re building intellectual property.

Between 2017-18 and 2023-24:

• Patent filings by startups grew 355%
• Trademark filings jumped 543%

This surge signals both legal awareness and ambition to go global.

IPOs: A New Avenue for Growth and Wealth Creation

Indian startups are eyeing the public markets like never before. Since 2021:

• 13 tech-first startups raised over ₹29,000 crore via IPOs
• 25 more are expected to list in 2025, opening doors for retail investors to join the wealth-creation journey

Celebrating Innovation: Mahakumbhs and Maharathis

India is not just nurturing innovation — it’s celebrating it.

• Startup Mahakumbh became one of the world’s largest startup festivals
• Programs like Startup Maharathi and the Bharat Startup Grand Challenge have catalyzed breakthroughs in AI, deep tech, climate tech, defence, and agritech
• Over 50 corporate collaborations are bringing market access, mentorship, and scale

The Road to 2047: A Future Built by Founders

The announcement of a fresh ₹10,000 crore Fund of Funds in Budget 2025-26 signals that the government remains bullish on startups. As India races toward its centenary in 2047, it is clear: startups won’t just contribute to the economy — they will shape its very foundation.

A Cultural Shift, Not Just an Economic One

Startup India has accomplished what few government programs ever do: it has reshaped a national mindset. Risk is no longer feared, failure no longer stigmatised. Entrepreneurship, once a preserve of elites, is now within the reach of small-town dreamers and first-generation founders.

The journey isn’t without obstacles — funding slowdowns, regulatory grey areas, and global turbulence remain. But if the past nine years offer any signal, India’s startup story is far from over.

In fact, it may have only just begun.