New Delhi, Oct 24: The Union Cabinet chaired by Prime Minister Narendra Modi has approved setting up of Rs 1000 crore Venture Capital Fund dedicated to space sector, under aegis of IN-SPACe.
The deployment period of the proposed Rs 1,000 crore VC fund is planned to be up to five years from the actual date of start of the fund operations.
The average deployment amount could be Rs 150-250 crore per year, depending on the investment opportunities and fund requirements.
The indicative range of investment is proposed to be Rs 10-Rs 60 crore, contingent upon the stage of the company, its growth trajectory, and its potential impact on national space capabilities.
Based on the above investment range, the fund is expected to support approximately 40 startups.
The proposed fund is expected to boost employment in the Indian space sector by supporting startups across the entire space supply chain—upstream, midstream, and downstream. It will help businesses scale, invest in R&D, and expand their workforce.
Each investment could generate hundreds of direct jobs in fields like engineering, software development, data analysis, and manufacturing, along with thousands of indirect jobs in supply chains, logistics, and professional services. By fostering a strong startup ecosystem, the fund will not only create jobs but also develop a skilled workforce, driving innovation and enhancing India's global competitiveness in the space market.
