These benefits will be in the form of a sharp reduction in the plethora of compliance now needed to set up businesses, swifter approvals, easier finance and tax breaks. The panel will decide whether the ideas they get from entrepreneurs are good enough to make the cut. The thrust behind the plan stems from the belief that it will generate vast employment numbers that will raise incomes and act as an engine of growth.
“There would be an inter-ministerial body to oversee proposals,” said an official aware of deliberations on the matter. This panel will comprise the secretaries of the departments of information technology, biotechnology and others. It will be anchored by the Department of Industrial Policy and Promotion (DIPP) and will meet every fortnight to decide on proposals. “Innovation will be the key in any idea,” the official added.
The basis on which the committee operates will be the definition of a startup that’s currently being drawn up. The group will vet proposals carefully, ensuring that the successful ones embody the philosophy of a startup and are therefore eligible for the benefits that come attached with the tag. The policy is being developed in extensive consultation with heavy hitters from the startup arena, including Silicon Valley startups, to ensure that it meets the requirements of nascent businesses and helps them attain scale.
“On January 16, the government of India will unveil the full action plan of Start-Up India, Stand-Up India,” the Prime Minister had said. “A structure will be presented before you. This programme will be connected to the country’s IITs, IIMs, central universities and NITs. Wherever there are youth, they will be linked through live connectivity.“
Policymakers are of the view that these businesses can prove to be game changers in terms of job creation. The initiative was first announced by Modi in his Independence Day speech on August 15 and the DIPP was then entrusted with the task of drawing up the framework.
Source: The Economic Times
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