Jharkhand Govt Allots ₹50 Crore VC Fund To Encourage Startups in the State

The Jharkhand Government has decided to sanction funds to encourage start up venture capital business in the state.
A decision in this regard was taken in the meeting of the state cabinet which was chaired by Chief Minister Raghubar Das at the project building here.

The state government has gone on setting up a venture capital fund with a corpus of Rs 50 crore in order to facilitate support to young and innovative entrepreneurs in the state. Three societies or companies would be formed under this to help the proposers coming under the scheme in the State.

An official release said that the cabinet had decided to set up funds for Jharkhand Start up Capital, Jharkhand Venture Capital Trustee Ltd and MSME Funds.

Also, an apex management body would be in place for which a firm ‘Gujarat Venture Fund Limited’ has been appointed.

Last month, Entrepreneurship Development Institute of India (EDII) has announced that it has implemented Start-up Village Entrepreneurship Programme (SVEP) in across 42 blocks across states of , Jharkhand, Gujarat, Madhya Pradesh, Haryana, Jammu & Kashmir, West Bengal, Odisha, Chhattisgarh, Telangana, Punjab and Uttar Pradesh.

Jharkhand government had launched its Information Technology and Start-up Policy in April 2016. In the same year, Chhattisgarh also launched ‘Start-up Chhattisgarh’ initiative, along with a dedicated online portal, in Raipur to foster entrepreneurship and promote innovation. Under a slew of sops incorporated in the policy, the state govt had annuonced that starups would get a subsidy of 75% on term loans up to Rs 70 lakh for six years, fixed capital subsidy of 35-40% up to Rs 3.5 crore,

According to a PTI news in 2016, Jharkhand was also planning to set up Innovation and Incubation Centres in the state. This however, still remain in waiting buffer till date.

In May 2017, global technology giant Oracle had signed a Memorandum of Understanding (MoU) with the government of Jharkhand to identify areas in which Oracle’s cloud-based technologies can be utilized to deliver improved citizen services. As a part of the MoU, Oracle will help the state government to improve its citizen services and attract IT startups to assist the state in improving its citizen services through e-governance.

In the same year, Jharkhand had also received investment support from the Union government for an internal venture capital fund to support startups in the state.

Via – Dailypioneer.com

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