K'taka cabinet OKs new startup policy

Karnataka, the hub of India’s IT activities and the source of one-third of exports, has given cabinet approval for the new startup policy to further strengthen its innovation muscle and catch up with its ambition to become a global hub outsmarting the Silicon Valley.

Interacting with Deccan Herald on Friday, IT, BT, and S&T department principal secretary V Manjula said the Karnataka Startup Policy is a five-year initiative. “The state cabinet gave clearance for the policy on Thursday. We are still working on the operational guidelines,” she said.

When asked about the corpus amount, she explained that it is part of the budgetary process and right now there is no point in talking about it.

“The startup policy is really a series of interventions to make the state the hub for disruptive technologies and innovation. As part of this, engineering colleges and higher education centres will form incubation centres. The Karnataka government already started this initiative by opening nine incubators across the state,” she said.

The next level of the policy will be to join hands with industry bodies for these incubation centres. As part of this, the state has already started a Startup Warehouse, along with Nasscom.

To build infrastructure
“These incubators will handhold startups along with private companies and industry bodies. This will help in getting funding and mentoring, apart from skilled manpower from various domains,” Manjula added further.

She said the startup policy will witness common instrumentation facility and other capacity-building initiatives.

“The state also will help angel investors and other global funders to come and invest in these startups. From ideation and product rollout, the state will work along with these startups to raise funds,” she said.

She said the government also plans to build a startup ecosystem around various verticals in tier-2 and tier-3 cities, focusing on manufacturing, IT, BT, healthcare, fintech, etc.

The secretary also said there will be a startup council headed by the chief minister to give direction on the startup policy. The government also will form a review committee under the chief secretary.

As part of the initiative, the government also plans to begin a startup cell under the Karnataka Biotechnology and Information Technology Services (KBITS).