Delhi Government Approves Startup Policy Offering Rs 10 Lakh Seed Funding to Students

Students in government schools and government-funded colleges and institutions in Delhi will be eligible for seed funding of up to Rs 10 lakh to launch their entrepreneurial ventures under a new Start-Up and Incubation Policy approved by the Delhi government, officials announced on Thursday.

Chief Minister Rekha Gupta said the government will invest Rs 400 crore in the policy over the next five years. 'Our government will invest Rs 400 crore in the policy over the next five years. The policy is not just to help people launch start-ups, but to transform Delhi’s youth from job seekers into job creators,' she said.

The policy will be implemented across 11 state universities, 13 government-funded colleges, polytechnic institutes, Industrial Training Institutes (ITIs), and Delhi government schools. Alumni of Delhi government schools are also eligible for seed funding under the policy.

Education Minister Ashish Sood stated, 'This policy is not for general public…the aim is to help students develop and incubate their ideas at an early level, so that by the time they pass out from schools and college, they become job providers…by handholding students at every stage from guiding them from idea stage to developing prototype till they take patent for their innovation.'

Industries Minister Manjinder Singh Sirsa said the student-focused policy provides 'Rs 10 lakh fund in different stages of their projects growth.'

Officials described this as a first-of-its-kind policy focused on students with large-scale government investment. Under the policy, the government plans to strengthen existing incubation centres in schools and colleges and set up new ones to nurture student ideas and help execute them.

The government will provide one-time financial assistance to eligible institutions for setting up and strengthening incubation centres, along with annual operational support for mentoring, networking, innovation activities, and overall start-up ecosystem development.

Start-ups associated with these centres will receive financial assistance at different growth stages, including prototype development, proof of concept, product development, market validation, and commercialisation, the Chief Minister said.

Incubation centres will offer modern infrastructure, expert mentoring, business advisory services, intellectual property support, access to laboratories and testing facilities, and connections with investors and industry.

The policy also includes an annual 'Delhi Start-up Youth Festival' to bring together young innovators, educational institutions, start-ups, investors, industry representatives, and policymakers.

A State Incubation Policy Monitoring Committee (SIPMC) will be set up with members from government, educational institutions, and industry to oversee implementation.

The previous Delhi government had introduced a start-up policy that did not take off, though it implemented the Business Blasters scheme in 2021, providing Rs 2,000 to Class XI and XII students for business projects under the Entrepreneurship Mindset Curriculum. That scheme was later expanded to universities and ITIs.