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Uttar Pradesh Approves Startup Mission and AI‑Ready Data Centre Policy

Centralising startup support under a new mission directorate, the package sets green GPU-focused data-centre targets to boost jobs and investment.

Overview

  • The UP Cabinet approved the Uttar Pradesh Startup Policy‑2026 and the Uttar Pradesh Data Centre Policy‑2026, and cleared creation of a registered Startup Mission Directorate to act as the state's nodal agency for startups.
  • The Data Centre Policy sets a target to add 2 gigawatts of capacity and to attract more than Rs 2 lakh crore in investment, with incentives for GPU-based infrastructure, energy efficiency and green operations.
  • The Startup Policy raises direct support for founders by increasing sustenance allowances to Rs 20,000 a month for two years, doubling prototype grants to Rs 10 lakh and raising seed funding to Rs 15 lakh with higher limits in special cases.
  • Operational steps still required include registering the Mission as a society, appointing a CEO and staff, notifying policy rules and detailing implementation mechanics, and a reported Rs 1,000 crore startup fund remains unconfirmed in wider official documents.
  • The 2026 package builds on the earlier 2021 data-centre policy that delivered seven operational projects and about Rs 21,343 crore of investment, and the government projects roughly 7,500 long-term jobs plus about 50,000 short-term construction jobs under the new plan.