BK News
JAMMU: The Administrative Council (AC) which met here under the chairmanship of Lieutenant Governor, Manoj Sinha, Thursdat approved J&K Startup Policy 2024-27 in supersession to the Startup Policy notified in the year 2018.
The policy has the objective of setting up 2000 new startups in Jammu & Kashmir in the next 5 years, according to an official statement.
Rajeev Rai Bhatnagar, Advisor to the Lieutenant Governor; Atal Dulloo, Chief Secretary; Mandeep Kumar Bhandari, Principal Secretary to the Lieutenant Governor attended the meeting.
The Government of Jammu &Kashmir will set up a Venture Capital Fund of Rs 250 Crores and will infuse maximum of Rs. 25 Crores as an initial fund to this venture capital fund.
The venture capital fund so created shall invest primarily in recognized start-ups of Jammu & Kashmir. The Department shall work out detailed modalities for the creation of venture funds and its usage in consultation with the Finance Department.
The department may also work out a mechanism to facilitate the allotment of land to startups having good potential for growth. There is also a provision of one-time assistance as Seed Funding up to Rs.20 lakhs, in 4 equal instalments, to be provided to startups recognized by JKEDI which is a nodal agency for startups. For seed funding, there is the capping of 25 startups per year which is a decision based upon available budget and desire to support a manageable number of start-ups effectively.
The Government is committed to establishing 2000 startups in three years but by providing seed funding to a smaller number of carefully selected start-ups, the Government can prioritize quantity over quality for long-term economic growth. This will also ensure that the resources are utilized efficiently. The budgetary support for the implementation of the Startup Policy for a period of three years will be Rs. 39.60 Crores.
To nurture and inspire the entrepreneurial talent of J&K by creating a vibrant and robust start-up eco-system in the UT. The Government felt that there is a need to re-furbish the existing start-up policy issued in the year 2018 and bring a new policy suited to meet model challenges in this sector in the UT of J&K.
The feedback received from various stakeholder consultations by the Industries and Commerce Department, the need was felt to strengthen the incubation and acceleration eco-system for startups which has been addressed in the current policy.
The implementation of this scheme in UT shall be monitored by a High Powered Committee headed by the Chief Secretary and implemented by a Task Force Committee headed by the Administrative Secretary, Industries & Commerce.
The policy provides for providing entrepreneurship facilities to students, and women and support to the entrepreneurs through Government/ Private/ High Net worth individuals for setting up of startups.
