In this year's Union Budget, the Finance Minister introduced multiple schemes aimed at promoting startups. The government aims to encourage more youth to start businesses, thereby creating more employment opportunities and improving the economic situation of the country.

The most important of these is the announcement of a Fund of Funds of Rs 10,000 crore.
The Fund of Funds scheme of Rs 10,000 crore for startups was first introduced in 2014. This scheme helped in attracting large investments in startups.

Instead of investing directly from the Fund of Funds in startups, investments will be made in AIFs (Alternative Investment Funders). Investment will be made in startups in the AI, health tech and green energy sectors.

Similarly, tax exemption for startups formed till April 1, 2030 has been extended for another 5 years.

The Finance Minister also announced that customized credit cards with a limit of Rs 5 lakh will be introduced for micro enterprises registered on the Udyam portal. He said that 10 lakh such cards will be distributed in the first year.

In the 2025-26 budget, for the first time, the budget includes a scheme to offer Rs 2 crore to women entrepreneurs from the Scheduled Castes and Scheduled Tribes.

The Finance Minister put forward proposals to address the shortcomings in infrastructure development, funding adequacy, and tax issues faced by startups.