New Rs 10,000-crore fund to boost startup ecosystem

With the new allocation of Rs 10,000 crore for the Startup India Fund of Funds (FFS), the government has introduced the option for reinvestment of alternate investment funds (AIFs). This move is expected to lead to faster exits, increased liquidity and more reinvestment opportunities, according to experts.

The previous Rs 10,000-crore cohort, announced back in 2016, has yielded a 15% gain, bringing the total corpus to Rs 11,000 crore, as per official data. However, a significant challenge was the long timelines for product companies, which take six to…