Finance minister Arun Jaitley allocated ₹3,073 crore to reinforce India’s startup ecosystem in this year’s budget. The focus will be on developing technologies that use Artificial Intelligence (AI) and Machine Learning (ML). So sectors like education will be benefited.
The Financial Budget also stressed on emerging areas like robotics and block chain.
Government’s think tank, NITI Aayog will be leading the startups to carry out research in these fields.
“NITI Aayog will initiate a national programme to direct our efforts in the area of artificial intelligence, including research and development of its applications. Technology will be the biggest driver in improving the quality of education. We propose to increase the digital intensity in education and move gradually from blackboard to digital board. Technology will also be used to upgrade the skills of teachers through the recently launched digital portal Diksha,” said Jaitley while presenting the budget .
Startup experts welcomed the government’s move to enhance the ecosystem of the country and they mainly appreciated the emphasis on new technologies like AI and ML. This year’s budget doubled the fund allocated to startup community.
Earlier, the government had slashed tax rates for service-based startups. However, Jaitley didn’t mention about reducing the tax rates for startups working in other areas.
Instead, he said the government will provide hybrid funding options for Venture Capitalists.