The Congress party in Karnataka has announced that it will offer subsidies and sops to startups if it comes to power in the upcoming assembly elections. The party has promised to create a Rs 1,000 crore fund to support startups in the state and provide them with subsidies for land, electricity, and water, among other benefits. The Congress has also said that it will establish incubation centers and co-working spaces in all the districts of the state to encourage entrepreneurship. This announcement comes after the Bharatiya Janata Party (BJP) in Karnataka made a similar promise in its election manifesto. The BJP had said that it would create a Rs 10,000 crore startup fund and establish a separate ministry for startups in the state. Startups in Karnataka have been thriving, with the state being home to several unicorns such as Flipkart, Ola, and Swiggy. The state government has been actively promoting entrepreneurship through various initiatives such as the Startup Karnataka scheme, which provides funding, mentorship, and other support to startups.
In the run-up to the 2023 Assembly elections in Karnataka, both the Bharatiya Janata Party (BJP) and the Indian National Congress have turned their attention to wooing the startup ecosystem in the state.
The BJP has announced a subsidy of up to INR 2 Lakh for startups in the state to cover their internet, power, and water bills for a year. The party has also promised to set up an exclusive startup cell to offer support to new businesses in the state. Additionally, it has promised to establish a venture capital fund of INR 1,000 Cr to support startups.
Not to be outdone, the Congress has also unveiled its own set of incentives for startups. It has promised to set up a startup hub in Bengaluru, as well as an incubation centre in every district of the state. The party has also said that it will establish a startup fund of INR 5,000 Cr to support entrepreneurs.
Both parties have emphasized the importance of the startup ecosystem to the state’s economy, and have promised to take steps to create a more conducive environment for businesses to thrive. It remains to be seen which party’s pitch will be more successful with the startup community in the state.