Considering leaving your job to embark on an entrepreneurial journey? Karnataka is introducing a promising support program, offering a financial boost of ₹25,000 per month for those stepping into the world of entrepreneurship. This new initiative, revealed by Karnataka IT-BT Minister Priyank Kharge, is designed to assist individuals who are transitioning from traditional employment to starting their own ventures.
New Initiative Announced by Priyank Kharge: Financial Support for Entrepreneurs
At the Moneycontrol Startup Conclave held in Bengaluru on August 9, Priyank Kharge unveiled an exciting new initiative aimed at fostering entrepreneurship. The Karnataka government will provide a monthly stipend of ₹25,000 for up to a year to those who leave their jobs to become entrepreneurs. Kharge described the program as a pioneering effort, potentially the first of its kind in India. He explained, “We are launching what might be the first program of its kind in the country. Individuals who resign from their positions to start their own businesses will receive ₹25,000 per month for a year. While this amount might appear modest given the current high cost of living, it will at least help cover basic domestic expenses.”
Kharge also highlighted the Karnataka government’s successful Elevate program, which he termed “the most-loved scheme for startups.” He noted that startups registered with the Karnataka government and winners of the Elevate program would gain a unique advantage: becoming the government’s first customers.
In his 2024-25 budget proposal, Karnataka Chief Minister Siddaramaiah introduced the Rajiv Gandhi Entrepreneurship Programme (RGEP), aimed specifically at young entrepreneurs with backgrounds in science or engineering. This initiative will offer a monthly stipend of ₹25,000 for a year, along with support from K-tech innovation hubs, to nurture and guide these young innovators.
New Initiative Announced by Priyank Kharge: Expanding Global Reach and Local Impact
Kharge underscored Karnataka’s role in attracting entrepreneurs from other states, attributing Bengaluru’s rise as a global technology hub to its evolution from a back-office operations center to a leader in research and development. “Bengaluru’s ascent to become the fourth-largest technology cluster globally didn’t happen overnight. We transitioned from being primarily a hub for IT services to becoming a leader in innovation and R&D. Karnataka’s top position in the Innovation Index and its leadership in service exports reflect this progress,” he said.
Additionally, Kharge announced the establishment of the Global Innovation Alliance, a network involving 32 countries, aimed at creating specialized corridors for Karnataka-registered startups to access international markets. Notable collaborations are already in place with countries like Germany, Australia, and Belgium. The minister also outlined plans for sector-specific corridors, including an AI corridor with San Francisco as Bengaluru’s sister city. “No other state government is willing to take such risks for startups. We are at the forefront, providing significant opportunities,” Kharge added.
Echoing the theme of the Moneycontrol Startup Conclave, “Persist, Reset, and Rebuild,” Kharge affirmed Karnataka’s commitment to this philosophy. “We are steadfast in our policies, ready to adapt to support businesses and create employment, and fully prepared to rebuild. Our goal is to create an environment where everyone has the chance to become an entrepreneur,” he stated.
Furthermore, Kharge introduced a public procurement policy designed to make the government the primary client for startups working on disruptive technologies. This policy aims to provide startups with a crucial early market opportunity.
Looking ahead, Kharge highlighted Karnataka’s proactive approach in addressing real-life challenges through multiple upcoming summits. “By November, we will host the Bengaluru Tech Summit, Social Innovation Summit, Urban Solutions Summit, Clean Water Summit, and Circular Economy Summit. These events will tackle pressing issues, and we are seeking innovative solutions from startups for challenges like water portability, mobility, solid waste management, and governance automation,” he explained.
Kharge concluded by emphasizing Karnataka’s comprehensive support for startups, stating, “If we find a promising solution, we will fund startups and offer them pilot projects within the government. No other state government provides such a thorough support system for startups.”
This new initiative announced by Priyank Kharge represents a significant step in nurturing and supporting aspiring entrepreneurs in Karnataka, aiming to foster innovation and growth in the state’s entrepreneurial ecosystem.
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