India's finance ministry reports that 1.14 lakh startups create over 12 lakh jobs

 OVERVIEW

As of October 2023, 1.14 lakh government-recognized startups under "Startup India" generated over 12 lakh jobs, according to the Department of Economic Affairs.

As to the Department's report, up to November 2023, 2.1 lakh loans were given under the Startup India initiative.

As to the state-sponsored ONDC, the platform recorded over 63 lakh transactions through November 2023.

According to a Ministry of Finance report, the Indian government-approved startups have generated over 12 lakh new jobs. 

The 1.14 lakh firms that the government recognized under the Startup India initiative created more than 12 lakh jobs as of October 2023, according to the Department of Economic Affairs' study, "The Indian Economy: A Review January 2024," which covered data up to the end of October 2023. 

The report, which praised the Center's startup effort, added that up till November of last year, 2.1 lakh loans had been issued under the program. Eighty-four percent of these loans were approved for the nation's female entrepreneurs. 

The report emphasized that in order to support the growing domestic startup ecosystem, the Center has implemented a number of regulatory reforms, such as decriminalizing 3,600 compliances and enhancing the simplicity of doing business. 

As to the Open Network for Digital Commerce (ONDC), which is supported by the state, the platform recorded over 63 lakh transactions until November 2023. 

The report additionally included about artificial intelligence (AI) in the midst of the continuous discussion about developing technologies. It claimed that governments around the world face significant challenges as a result of AI, particularly in light of its effects on employment. 

Based on the concerns it raises about employment, especially in the services sector, the emergence of artificial intelligence (AI) presents a significant challenge to governments worldwide. This was recently uncovered in an IMF report that estimated 40% of jobs worldwide are impacted by AI, with the advantages of complementarity functioning alongside the potential for displacement, the report stated. 

It is essential to remember that in 2023, Indian digital firms directly employed over 10.34 lakh people, according to a recent report by the World Economic Forum. It also stated that in the upcoming years, this figure is anticipated to increase.

Thanks to smartphones and reasonably priced internet, the Indian digital economy has grown tenfold in the last ten years. With over 931 million smartphone users, this digital drive has fueled the nation's rapidly growing startup scene. 

However, the extended financial cold is currently having an awful impact on the Indian startup environment. As a result, funding in 2023 fell to levels seen before to 2017. Just $10 billion was raised by Indian companies last year, compared to $25 billion in 2022 and $42 billion in 2021. Nonetheless, industry participants predict a turnaround in the funding amount by the second half of 2024, suggesting that signs of resuscitation are likely.