IAS Gyan

Daily News Analysis

“State Startup Ranking 2019”

12th September, 2020 Economy

Context: The Results of the second edition of Ranking of States on Support to Startup Ecosystems were released.

More about news:

  • The Department for Promotion of Industry and Internal Trade (DPIIT) conducted the second edition of the States’ Startup Ranking Exercise, with the key objective to foster competitiveness and propel States and Union Territories to work proactively towards uplifting the startup ecosystem.
  • It has been implemented as a capacity development exercise to encourage mutual learning among all states and to provide support in policy formulation and implementation.
  • The States’ Startup Ranking Framework 2019 has 7 broad reform area, consisting of 30 action points ranging from
    • Institutional Support,
    • Easing Compliances,
    • Relaxation in Public Procurement norms,
    • Incubation support,
    • Seed Funding Support,
    • Venture Funding Support, and
    • Awareness & Outreach.
  • To establish uniformity and ensure standardization in the ranking process, States and UTs have been divided into two groups. While UTs except Delhi and all States in North East India except Assam are placed in Category ‘Y’. All other States and UT of Delhi are in Category ‘X’.
  • A total of 22 States and 3 Union Territories participated in the exercise. Evaluation Committees comprising independent experts carried out a detailed assessment of responses across various parameters.
  • Many parameters involved getting feedback from beneficiaries which was gathered through more than 60,000 calls made in 11 different languages to empathetically connect with beneficiaries to ascertain the real situation at the implementation levels.
  • For the purposes of Ranking, States are classified into 5 Categories:
    • Best Performers,
    • Top Performers,
    • Leaders,
    • Aspiring Leaders and
    • Emerging Startup Ecosystems.
  • Within each category, entities are placed alphabetically. States are also recognised as Leaders in 7 reform areas of support to startups.
  • Results are here: Winners For Ranking Of States 2019
  • Best Performer: Gujarat (State), Andaman & Nicobar Islands (UT)
  • Top Performers: Karnataka and Kerala
  • Leaders: Bihar, Maharashtra, Odisha, Rajasthan, Chandigarh
  • Aspiring Leaders: Haryana, Jharkhand, Punjab, Telangana, Uttrakhand
  • Emerging Startup Ecosystem: Andra Pradesh, Assam, Chhattisgarh, Delhi, Himachal Pradesh, Madhya Pradesh, Sikkim, Tamil Nadu, Uttar Pradesh