Commerce and Industry Minister Piyush Goyal recently revealed that a substantial portion of the Rs 10,000 crore second fund of funds for startups will be directed towards backing seed funding for smaller players in order to foster deep-tech innovation. The Small Industries Development Bank of India (Sidbi), a government financial institution, has been tasked with managing this fund, which includes a Rs 2,000 crore allocation for the current year. This move is expected to provide a significant boost to the startup ecosystem in India, particularly for emerging players focusing on cutting-edge technologies. Goyal’s announcement underscores the government’s commitment to supporting and nurturing innovation in the country, as well as its recognition of the vital role that startups play in driving economic growth and job creation. By prioritizing seed funding for smaller startups, the government aims to enable these innovative ventures to flourish and make a meaningful impact in the deep-tech space. The allocation of funds through Sidbi is set to streamline the process of financial support for startups, facilitating their journey from ideation to commercialization. This strategic initiative is poised to fuel the growth of the startup ecosystem in India and pave the way for a new wave of technological advancements and breakthrough innovations.