A Vision to Transform: Odisha’s Bold Startup Strategy
The Odisha government’s multi-pronged strategy to build a thriving innovation ecosystem is beginning to bear fruit. In a major recognition of this vision, seven startups from the state have secured ₹35 crore in funding under the Government of India’s Fund of Funds for Startups (FFS) scheme. The announcement, made by Union Commerce and Industry Minister Jitin Prasada in Parliament, underscores Odisha’s ascent as a rising hub of entrepreneurship.
With districts like Cuttack, Khordha, Rourkela, and Ganjam emerging as focal points of startup activity, the investment reflects a broader national shift—one that encourages innovation beyond traditional metro corridors. For Odisha, this moment marks not just funding success, but validation of years of systemic effort to foster grassroots entrepreneurship.
The Fund That Fuels Dreams: A National Push with Local Gains
The FFS scheme, a flagship component of the Startup India initiative, was launched to enhance access to venture capital for high-potential startups across India. Instead of funding companies directly, the government invests in Alternative Investment Funds (AIFs), which in turn back promising ventures. Odisha’s seven funded startups are part of this national strategy, which has now meaningfully touched the state’s entrepreneurial soil.
Responding to a question raised by Bolangir MP Sangeeta Kumari Singh Deo, the Union Minister confirmed that as of June 30, 2025, the AIFs had cumulatively invested ₹35 crore in these ventures—demonstrating both growing investor confidence and strategic policy outreach.
Beyond Capital: Building a Startup-Ready Culture
The Odisha government, in partnership with the Centre, is not limiting its efforts to funding alone. A range of initiatives are actively being deployed to nurture a startup-supportive ecosystem:
· Mentorship workshops, pitching sessions, and bootcamps are being held in Bhubaneswar and nearby cities to equip entrepreneurs with the know-how to scale.
· First-time fund managers are being introduced to the mechanics of venture funding, laying the groundwork for local investment networks.
Additionally, under the Ministry of MSME’s TEAM scheme, Odisha’s micro and small businesses are being digitally enabled through onboarding to the Open Network for Digital Commerce (ONDC). This includes assistance in cataloguing, packaging, logistics, and customer outreach, significantly lowering the barriers to entering digital markets.
Digital Readiness & Infrastructure: A Twin Engine
The Digital Readiness Assessment Tool, developed in collaboration with the Quality Council of India, is being deployed across Odisha to help MSMEs gauge and improve their digital capabilities. This is especially crucial as digital presence becomes non-negotiable in post-pandemic business models.
Simultaneously, national infrastructure frameworks like the PM Gati Shakti Master Plan and the National Logistics Policy are streamlining Odisha’s connectivity and logistics ecosystem—helping reduce operational costs for both startups and traditional enterprises.
A Model for Tier-II Innovation
Odisha’s recent ₹35 crore startup funding milestone is more than just a figure—it represents a growing confidence in the state’s innovation potential. With structured capital access, grassroots-level digital empowerment, and a strengthening logistics backbone, Odisha is rapidly evolving into a blueprint for Tier-II entrepreneurial transformation.
As the state continues to embrace policy innovation and empower local talent, it is well on its way to becoming a pivotal player in India’s new economy—a place where bold ideas, even from non-metro cities, can find both backing and scale.
(With agency inputs)
