V. Anantha Nageswaran, the Chief Economic Advisor (CEA) to the Government of India, highlighted the pivotal role startups will play in India's pursuit of ambitious developmental goals, foreseeing India's ascent to the position of the world's third-largest economy in the near future.
Speaking at the Huddle Global 2023 event hosted by the Kerala Startup Mission (KSUM), Nageswaran emphasized the emergence of Tier-2 and Tier-3 cities, including Thiruvananthapuram, as burgeoning hubs for startups. He underscored their growth, attributing it to improved infrastructure and supportive government policies.
Nageswaran projected India's potential to become the world's third-largest economy by 2030, propelling a '7-in-7' campaign, aiming for a $7 trillion economy within seven years. He emphasized the pivotal role of startup entrepreneurs in this trajectory, citing their contribution in developing business models aligned with India's expanding physical and digital infrastructure, which generates efficiency and economic returns.
Highlighting India's exceptional transformation in the startup landscape over the last decade, Nageswaran noted its rank as the third-largest ecosystem globally, with over 1.12 lakh recognized startups across 763 districts, including numerous unicorns with a combined valuation of around $350 billion. He also highlighted India's second position in innovation quality.
Diversified across 56 industrial sectors, Indian startups are tackling challenges in various domains, with significant representation in IT services, health, education, agriculture, and food & beverages sectors. Notably, nearly half of these startups hail from Tier-2 and Tier-3 cities, benefiting from lower operational costs compared to Tier-1 cities, fostering a substantial business advantage.
Nageswaran emphasized the importance of perpetuating India's culture of entrepreneurship and innovation, underlining their critical role in driving economic growth, job creation, and national development.
(With Agency Inputs)
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