The Economics of

Indian tech startups

In the last twenty years, India has experienced a remarkable upsurge in its startup ecosystem, with lots of investment being poured into it.

Job creation

These startups play a pivotal role in generating fresh employment opportunities, thereby stimulating local economies and driving higher levels of consumer spending. As a result, the positive ripple effects extend across various sectors.


A wide range of new and sophisticated B2B platforms have emerged from tech start ups. Many sectors have benefited including education, finance, insurance etc.

Research and Development

In today's fast-paced world, startups have emerged as the driving force behind groundbreaking Research and Development (R&D) efforts. They are revolutionizing knowledge-intensive sectors and are on the frontlines of innovation.

Stats related to tech start ups

India has nearly 27,000 active tech startups, and added 1,300 last year. In 2023, Indian startups played a significant role in shaping the country's employment landscape by generating 756,000 job opportunities. This year, 52 funds worth over $3.8 billion have been announced to support startups, with 38% dedicated to nurturing early-stage entrepreneurs.

Establishing policies, portals, and educational programs, along with incubation centers and co-working spaces, can boost startups and contribute significantly to India's economic development.