India’s Department for Promotion of Industry and Internal Trade (DPIIT) is planning to bring in top global investors including SoftBank, Tiger Global and Naspers as participants in the National Startup Advisory Council, which could be announced in February.
Since these global investors have been influential supporters of Indian startups, DPIIT believes they must be part of the council acting as a comprehensive body for India’s digital ecosystem.
DPIIT has been talking to these investors and asset managers to be active participants in the council, said an ET report.
SoftBank, Tiger Global and Naspers are yet to confirm their participation. Entrackr queries, in this regard, to SoftBank and Naspers remain unanswered till press time. Tiger Global could not be contacted immediately.
The three investors have together poured in around $20 billion in Indian startups. Many startups backed by them have turned unicorn including Oyo, Ola and Flipkart.
Besides, DPIIT has also asked Indian Private Equity and Venture Capital Association (IVCA) to join the board.
The National Startup Advisory Council, which will be presided over by Union Commerce Minister Piyush Goyal, will have about 44 members including entrepreneurs, investors, policymakers and government officials.
In the first week of January, Entrackr had reported that the government is planning to set up a Startup Advisory Council.
The purpose of the council would be to discuss and chart a path for weeding out issues hampering startups in the country.
Startups keep raising issues related to exemption from capital gains tax for investors, Angel Tax and lack of a good ecosystem for startups, ease of doing business and taxing of employee stock ownership plans (ESOPS).
The planning of a startup council is part of DPIIT’s Startup India Vision 2024.
In December last year, DPIIT secretary Guruprasad Mohapatra had confirmed that the government is working on multiple regulatory measures including improving compliance related to incorporation and tax issues related to startups.
As of November 2019, India has about 25,115 DPIIT registered startups in the country. Around 4000 are reportedly in smaller towns. The government plans to take the number to 50,000 by 2024.