Chhattisgarh Startup Policy 2025–30 Approved with ₹100 Cr Capital Fund

The Chhattisgarh Cabinet has approved the Chhattisgarh Innovation and Startup Promotion Policy 2025–30 to strengthen the state’s startup ecosystem. The policy introduces a ₹100 crore Startup Capital Fund along with seed funding, credit support, and employment incentives to boost innovation and entrepreneurship.

The Chhattisgarh Government has taken a significant step towards developing the state as a central hub for innovation and startups. At a meeting of the Council of Ministers held at Mahanadi Bhawan on February 4, under the chairmanship of Chief Minister Shri Vishnu Deo Sai, the Chhattisgarh Innovation and Startup Promotion Policy 2025–30 was approved. The implementation of this policy is expected to strengthen the state’s startup ecosystem and create new opportunities for youth to engage in entrepreneurship.

Alignment with Amrit Kaal Vision and Policy Gaps

The state government stated that to achieve the objectives of “Amrit Kaal: Chhattisgarh Vision @2047”, it is essential to promote innovation-based industries. So far, startup-related provisions existed only within industrial policies. However, the absence of a dedicated startup policy had limited the pace of incubation, investment, and innovation. This gap also posed challenges for the state in the Startup Ranking of States issued by the Department for Promotion of Industry and Internal Trade, Government of India. The newly approved policy aims to address these shortcomings in a structured manner.

Seed Funding and ₹100 Crore Startup Capital Fund

Under the new startup policy, only startups recognised by the state government will be eligible for various financial assistance and incentives. To support early-stage startups, Proof of Concept-based startups will be provided seed funding of up to Rs. 10 lakh for the development of a Minimum Viable Product. In addition, to enhance investment availability in the state, a Rs. 100 crore Chhattisgarh Startup (Capital) Fund will be established. Through this fund, investments will be made in startups via SEBI-registered Alternative Investment Funds.

Credit Support, Interest Subsidy and Market Access

To facilitate access to banking support, a Credit Risk Fund of Rs. 50 crore will also be created. Under this arrangement, startup units will receive credit guarantees for collateral-free bank loans of up to Rs. 1 crore. Recognised startups will further be eligible for an interest subsidy of up to 75 per cent for a period of five years on term loans or working capital, subject to a maximum limit of Rs. 50 lakh. Keeping in view the expansion of startups and their market access, the policy provides for a 50 per cent grant on total expenditure incurred for participation in national and international startup-focused events, including travel, registration, and stall charges. Reimbursement will also be provided for expenses incurred on advertising through digital platforms. Startups that successfully raise capital will receive additional financial incentives for their fundraising efforts.

Employment Incentives and Startup-Friendly Measures

The policy also includes provisions such as relaxation of government procurement norms for startups, exemption from stamp duty on land and building-related documents, and a rental subsidy for three years for units operating from incubation centres or rented premises. Financial assistance will also be provided for fixed capital investment, quality certification, patents, project reports, and procurement of technology from government research institutions. Special provisions have been made to promote employment generation.

Startups providing more than 10 permanent jobs will be eligible for assistance of up to Rs. 6,000 per month per female employee and Rs. 5,000 per month per male employee. Startups employing specially-abled persons, retired Agniveers, and individuals affected by or victims of Naxalism will be eligible for a wage subsidy of up to 40 per cent for a period of five years.

The state government believes that implementing the Chhattisgarh Innovation and Startup Promotion Policy 2025–30 will lead to increased investment, encourage the establishment of new startups, and create wide-ranging employment opportunities for youth. The policy is expected to play a key role in positioning Chhattisgarh as a strong, competitive, startup-friendly state at the national level.

Chhattisgarh Startup Policy 2025–30: Key Facts