What is the News?
NASSCOM in association with Consultancy Firm Zinnov has released a report titled ‘Indian Tech Start-up Ecosystem: Year of The Titans’.
What are the key findings of the Indian Tech Start-up Ecosystem report?
More than 2,250 startups were added in the year 2021. This is 600 more than what was added in 2020.
Startups raised about USD 24.1 billion in 2021, a two-fold increase over pre-COVID levels.
Currently, India has about 70 active startups which have crossed the valuation of $1 billion or more.
Globally, India remained at the number three spot, behind the US and China, which had startups that had a valuation of $1 billion or more.
The U.S. remains the leading source of foreign direct investment (FDI) in start-ups.
About 50% of deals involving startups had at least one investor domiciled in India.
Industries that saw the most net new job creation were BFSI (banking, financial services and insurance), ed-tech, retail and retail tech, food-tech, supply chain management, and logistics and mobility.
| Read more: Centre to organize the first of its kind innovation week to encourage Startup ecosystem in India |
What are the recommendations given by the Indian Tech Start-up Ecosystem report?
The report has suggested a few priority areas that can further fuel the growth of the startup ecosystem. These areas are a) encouraging tech startups to innovate for India b) retaining the best digital talent in the country c) procurement reforms to enable startups scale d) creating avenues for attracting foreign investments into Indian start-ups and e) growing global thought leadership for “world-class from India”.
| Read more: Start-Up Village Entrepreneurship Programme(SVEP) |
Source: This post is based on the article ‘Start-ups raised a record $24.1 billion in 2021: study’ published in The Hindu on 22nd January 2022.
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