India recognizes record 55,200+ startups in FY26; total tops 2.23 lakh, ministry says
India’s startup registry swelled to new highs in FY 2025-26, with the government recognizing more than 55,200 startups—the largest annual addition since the launch of Startup India in 2016—according to the Ministry of Commerce & Industry. As of March 31, 2026, the total number of recognized startups crossed 2.23 lakh, collectively generating over 23.36 lakh direct jobs.
The ministry said recognized startups rose 51.6% year-on-year in FY26 compared to FY25, while direct job creation increased 36.1% over the same period. Startups are now present across all states and Union Territories, with Maharashtra, Karnataka, Uttar Pradesh, Delhi and Gujarat emerging as leading hubs by number of ventures and employment.
Officials pointed to ongoing policy support across the funding lifecycle. Under the Fund of Funds for Startups (FFS), more than Rs 7,000 crore has been disbursed to over 135 Alternative Investment Funds, which have in turn invested over Rs 26,900 crore in more than 1,420 startups.
A second fund with a corpus of Rs 10,000 crore has also been announced. The Credit Guarantee Scheme for Startups (CGSS) was expanded in FY 2025-26 by increasing the guarantee cover per borrower from Rs 10 crore to Rs 20 crore, enhancing the extent of guarantee cover, and reducing the annual guarantee fee for lenders in identified sectors.
By the end of FY 2025-26, more than 410 loans amounting to over Rs 1,250 crore had been guaranteed. Early-stage support has widened under the Startup India Seed Fund Scheme (SISFS), under which 219 incubators have been selected with funding commitments of Rs 945 crore.
These incubators have approved over Rs 605 crore for more than 3,400 startups. The ministry also highlighted a pickup in intellectual property activity: startups filed more than 19,400 patent applications, with filings rising from over 2,850 in FY 2024-25 to more than 4,480 in FY 2025-26.
Public procurement via the Government e-Marketplace (GeM) continued to draw startups into government supply chains, with over 38,600 startups onboarded and an increase in total orders and value during the year.
The ministry said these measures are aimed at sustaining growth, improving funding access and strengthening India’s position as a global startup hub, reflecting the ecosystem’s expansion over the past decade since Startup India’s launch in January 2016.