The Government recognised over 55,200 Startups in the financial year 2025-26, the highest annual addition since the Startup India initiative began in 2016, as per ANI report.
The increase represents a 51.6% rise compared with the previous year, based on data from the Ministry of Commerce and Industry.
These entities are certified by the Department for Promotion of Industry and Internal Trade (DPIIT), allowing them access to tax relief, compliance relaxations and funding support.
As of March 31, 2026, the total number of recognised startups in India exceeded 2.23 lakh. Together, they have generated more than 23.36 lakh direct jobs.
Employment creation during the year rose by 36.1% compared with FY25. Nearly 48% of recognised startups have at least 1 woman director or partner, indicating wider participation across the ecosystem.
Government-backed funding mechanisms continued during the year. Under the Fund of Funds for Startups (FFS), more than ₹7,000 crore has been allocated to over 135 Alternative Investment Funds, which have invested over ₹26,900 crore in more than 1,420 startups.
A second fund with a corpus of ₹10,000 crore has also been announced.
The Credit Guarantee Scheme for Startups (CGSS) was revised in FY26. The guarantee cover per borrower was increased to ₹20 crore, while fees for lenders in selected sectors were reduced.
By the end of the year, over 410 loans worth more than ₹1,250 crore had been backed under the scheme.
Under the Startup India Seed Fund Scheme (SISFS), 219 incubators have been selected with total commitments of ₹945 crore. Of this, over ₹605 crore has been approved for more than 3,400 startups.
Startups are now present across all states and Union Territories. Maharashtra, Karnataka, Uttar Pradesh, Delhi and Gujarat account for a large share in terms of both recognised entities and employment.
Patent activity has increased, with startups filing over 19,400 applications. Annual filings rose to more than 4,480 in FY26 from over 2,850 in the previous year.
More than 38,600 startups have also been onboarded on the Government e-Marketplace, with procurement activity rising during the period.
Read More: Capex and Infrastructure Push to Fuel 9-13% Industrial Credit Growth in First Half of 2026: Ficci-IBA Survey!
The data shows continued expansion in recognised startups, alongside growth in employment, funding access and participation across regions.
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Published on: Apr 20, 2026, 4:42 PM IST
Team Angel One
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