The Delhi government, under Chief Minister Rekha Gupta, has unveiled a comprehensive draft Startup Policy for 2025 aimed at nurturing 5,000 new startups by the year 2035. Central to this ambitious plan is the creation of a ₹200 crore Delhi Startup Venture Capital Fund, which will provide crucial early-stage financial support to innovative enterprises.
This nine-page draft has been published on the Department of Industries’ website and is now open for public feedback, reflecting the government’s focus on collaboration with entrepreneurs, industry experts, and the community.
Broad Sectoral Support for a Future-Ready Ecosystem
The draft policy takes a wide-ranging approach by targeting 18 key sectors to cultivate a diverse and balanced startup ecosystem. These include traditional but critical areas like healthcare services, hospitality, fintech, automotive enterprises, e-waste management, logistics, gaming, green technology, and robotics. Simultaneously, it embraces advanced and emerging technologies such as Artificial Intelligence (AI), Machine Learning (ML), Internet of Things (IoT), Software-as-a-Service (SaaS), Biotechnology, Augmented Reality (AR), Drones, and Unmanned Aerial Vehicles (UAVs).
The draft recognizes Delhi’s strategic advantages—its proximity to government institutions, strong business-friendly infrastructure, and growing entrepreneurial culture—which together position the city as an emerging IT and innovation hub. The policy remains flexible, allowing the Startup Monitoring Committee to identify and include additional focus areas over time to keep pace with evolving market demands and technologies.
Attractive Financial Incentives to Empower Founders
To boost startup growth and reduce early operational burdens, the policy offers a range of generous financial incentives:
- Workspace Support: 100% reimbursement of co-working or office lease rentals, capped at ₹10 lakh annually, available for up to three years.
- Intellectual Property Assistance: Full reimbursement for patent, copyright, trademark, and industrial design filings, up to ₹1 lakh for Indian applications and ₹3 lakh for international filings.
- Exhibition Support: Reimbursement of stall or rental costs up to ₹5 lakh for domestic and ₹10 lakh for international exhibitions, helping startups showcase their products globally.
- Operational Stipend: A monthly allowance of ₹2 lakh for up to one year, designed to ease operational expenses during the crucial early phase.
These benefits can be availed through a streamlined online system via Delhi’s Single Window System, ensuring easy and transparent access for eligible startups.
Robust Governance and Support Structures
Strong governance forms a core part of the policy to ensure smooth implementation and continual progress monitoring:
- A Startup Policy Monitoring Committee, led by the Industries Commissioner, is tasked with coordinating multi-departmental efforts.
- A dedicated Startup Task Force will evaluate and approve applications from startups and incubators for incentives.
- A single Nodal Agency will serve as the primary contact point for entrepreneurs and stakeholders.
- A Project Monitoring Unit will conduct regular reviews of policy impact and implementation.
Additionally, the government plans to launch a digital portal, helpline, and helpdesk to facilitate easy startup engagement with these initiatives.
Building Community and Promoting Inclusivity
The policy underscores the importance of ecosystem building beyond financial aid. It proposes organizing city-wide startup festivals, competitions, and networking events to provide startups exposure at the national and international levels. Partnerships with industry associations and large corporates are emphasized to enhance collaboration opportunities.
Special focus is given to women entrepreneurs, youth, and marginalized communities, ensuring they receive dedicated benefits and equal opportunities. The draft notes that empowering women entrepreneurs can significantly contribute to economic well-being by creating self-employment and fostering balanced, inclusive growth aligned with global development goals such as the Millennium Development Goals (MDGs).
Virtual Incubation and Mentorship
To supplement financial support, the government will offer virtual incubation services through the Delhi Incubation Hub network, connecting startups with mentors and experts. This enables founders to tap into a broad support system, essential for scaling their ventures. Industry bodies will be engaged in hosting startup festivals and events to further entrepreneurial outreach and global market access.
Synergy with Delhi’s Industrial Policy
The Startup Policy complements Delhi’s Industrial Policy for 2025–35, which includes a ₹400 crore venture capital fund, GST waivers, and reforms to promote business growth. The industrial policy focuses on high-value sectors like frontier technologies, IT and IT-enabled services, financial services, and research and development. Together, these policies aim to make Delhi a global business hub with a future-ready, non-polluting industrial ecosystem supported by strong infrastructure and workforce development programs.
Accountability and Continuous Review
To ensure effectiveness, the policy mandates biennial reviews and status reports by the Startup Task Force to evaluate ease of implementation, usefulness, and outcomes achieved. The government commits to building state-of-the-art infrastructure to foster a dynamic entrepreneurial ecosystem that can compete on the global stage.
Why This Policy Matters
Previous startup policies in 2019 and 2022 faced challenges related to the pandemic and limited execution. This refreshed draft, with enhanced governance, monitoring, and comprehensive incentives, aims to reignite entrepreneurial confidence and firmly position Delhi as an innovation and startup hotspot. If successful, it could propel Delhi towards becoming one of India’s largest startup hubs by supporting sustainable and inclusive socio-economic development.
