Question:-Which year was the startup fund established?
(A) June 2014
(B) June 2015
(C) June 2016
(D) July, 2016
Ans: (c)
Related facts:-
- On March 22, 2017, the Union Cabinet approved to set up a fund for startups.
- This fund was established in June, 2016.
- For this fund the government had allocated an amount of Rs.1000 crores.
- The following proposals have been given for setting up of funds for startups by the Cabinet:
- The alternative investment fund, assisted by the Startups Fund, can be invested at least twice.
- If the committed amount is not released for the full startup before the start-up has ended then the balance can be released after that.
- For the investments made for alternative investment funds and arrears, the limit of 0.50% will be taken from the alternative investment fund.
- This amount will be met for the meeting of Venture Capital Investment Committee, operating expenses for legal and technical evaluation etc.
- Withdrawal will be done from this fund in the beginning of the half year of each year (on 1st April and 1 October).
- The funding for startup is under the supervision of the Indian Small Industries Development Bank (SIDBI).
- Startup fund contributes to the Alternative Investment Fund (AIFs) registered in SEBI.
- This contribution can be more than 35 percent.
Related Links:-
http://pib.nic.in/newsite/PrintRelease.aspx?relid=159757
http://www.business-standard.com/article/news-ians/cabinet-nods-rs-1-000-cr-initial-corpus-for-fund-of-funds-for-start-ups-117032201493_1.html
http://www.pmindia.gov.in/hi/news_updates/%E0%A4%95%E0%A5%87%E0%A4%82%E0%A4%A6%E0%A5%8D%E0%A4%B0%E0%A5%80%E0%A4%AF-%E0%A4%AE%E0%A4%82%E0%A4%A4%E0%A5%8D%E0%A4%B0%E0%A4%BF%E0%A4%AE%E0%A4%82%E0%A4%A1%E0%A4%B2-%E0%A4%A8%E0%A5%87-%E0%A4%B8-6/