Ahead of the Union Budget 2026, India's start-up sector is pressing the government for significant reforms. Key demands include better access to capital, particularly through an expanded Fund of Funds, and streamlined credit access for new entrepreneurs and women-led businesses. Start-ups are also seeking targeted tax breaks, simplified compliance, and enhanced intellectual property protection to foster innovation and competitiveness.
India's start-up ecosystem has urged the central government to introduce a stronger, more supportive fiscal and regulatory framework in the upcoming Union Budget 2026, according to sources. During a recent pre-budget consultation with FM Nirmala Sitharaman and senior officials, representatives from
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FAQ :
Start-ups are demanding improved access to capital, reforms in intellectual property protection, and tax relief. They also seek streamlined credit access and increased public investment in R&D.
They are requesting a significant expansion of the Fund of Funds corpus to help early-stage ventures secure equity funding and easier administrative reforms for banks to offer larger term loans.
Start-ups are seeking targeted tax breaks for early-stage companies, greater flexibility in tax compliance, and relief on angel and early-stage investments.
They are concerned about delayed patent approvals, high litigation costs, and limited enforcement, urging for faster processing, better dispute resolution, and stronger safeguards for homegrown technologies.
The Fund of Funds plays a catalytic role by channeling investments through venture capital firms, particularly benefiting technology-led businesses.
They are advocating for higher public investment in research and development across emerging domains like artificial intelligence, deep-tech, and sustainability technologies.