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Karnataka Unveils 2025–2030 Startup Policy With Rs 571 Crore Outlay, Launches Funds to Push Growth Beyond Bengaluru

The plan pairs grant support with equity capital to broaden who builds companies in the state.

Overview

  • Karnataka set a five-year target to enable 25,000 startups under the new policy, including at least 10,000 from clusters outside Bengaluru, backed by a Rs 570.675 crore allocation.
  • The state launched a Rs 75 crore Beyond Bengaluru Cluster Seed Fund with a Rs 20 crore government commitment to start, initially focusing on Mysuru, Mangaluru, and Hubballi–Dharwad.
  • The cluster fund will make equity or equity-linked investments starting around Rs 50 lakh per startup in areas such as IT, electronics and semiconductors, biotechnology, and AVGC.
  • A Rs 150 crore ELEVATE NxT deeptech grant programme will offer up to Rs 1 crore per startup for work in AI, robotics, biotech, quantum technologies, and green energy, open to startups across India.
  • At a felicitation event, 146 startups received Rs 38.85 crore under ELEVATE 2025, with 43% women-led and 43% based beyond Bengaluru, as the programme’s lifetime disbursals reached Rs 287.85 crore to 1,230 startups.