By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
India Times NowIndia Times NowIndia Times Now
Notification Show More
Font ResizerAa
  • Bharat Shreshtha Ratna Sanman
  • India News
  • Categories
    • Technology
    • Entertainment
    • The Escapist
    • Insider
    • Finance ₹
    • India News
    • Science
    • Health
Reading: Restrictive regulations will slow Indian startup formation by 20%, VC flows by 25%: Report
Share
India Times NowIndia Times Now
Font ResizerAa
  • Bharat Shreshtha Ratna Sanman
  • India News
  • Categories
Search
  • Bharat Shreshtha Ratna Sanman
  • India News
  • Categories
    • Technology
    • Entertainment
    • The Escapist
    • Insider
    • Finance ₹
    • India News
    • Science
    • Health
Have an existing account? Sign In
Follow US

Home » Restrictive regulations will slow Indian startup formation by 20%, VC flows by 25%: Report

India News

Restrictive regulations will slow Indian startup formation by 20%, VC flows by 25%: Report

India Times Now Desk
Last updated: June 30, 2026 12:23 pm
India Times Now Desk
Published: June 30, 2026
Share
SHARE


Representative image.

Representative image.
| Photo Credit: Getty Images/iStockphotos

Restrictive digital regulations in India could lead to creation of 2,130 fewer startups annually; a loss of approximately ₹91,500 crore in venture investments each year and a reduction of some 2,45,000 startup jobs in India, says a study by Oxford Economics for Digital Prosperity Asia (DPA).

Digital Prosperity Asia (DPA) is a coalition representing small and medium-sized enterprises (SMEs) and startups across the Asia-Pacific that works to strengthen dialogue between the digital ecosystem and policymakers.

Oxford Economics, a global advisory firm that provides independent economic forecasting and economic modelling, suggested that a shift from India’s current enabling environment towards a more restrictive digital regulatory environment set to slow down startup formation by 20% and VC flow by 25% in India between 2025 and 2035.

According to the report, digital regulations are increasingly shaping the trajectory of India’s startup ecosystem, with the design and implementation of regulatory frameworks having significant implications for innovation, investment, and job creation.

Titled “Digital Regulations and the Startup Ecosystem in India”, the report draws on a survey of 550 ecosystem participants—including 350 startups, 100 venture capital firms, and 100 incubators—as well as expert interviews and quantitative economic modelling to assess the impact of digital regulations on India’s innovation economy.

Conversely, an even more enabling regulatory approach could boost startup formation by 7%, increase venture capital investment by 9%, and support an additional 80,000 startup jobs in 2035.

Bali Kaur Sodhi, Lead Economist at Oxford Economics said, “In an emerging market like India, maintaining proportionate, principles-based regulatory frameworks can support startup scaling, attract investment, accelerate technology diffusion, and strengthen the country’s innovation ecosystem.’’

By continuing to foster enabling digital infrastructure and adopting a balanced regulatory approach, India could unlock significant economic gains, including an estimated 80,000 additional startup jobs and ₹30,400 crore in annual venture capital investment over the next decade, he added.

The report further said, cross-cutting regulations could create overlapping obligations across AI, data governance, and cybersecurity, increasing compliance complexity and regulatory fragmentation.

Published – June 30, 2026 05:53 pm IST



Source link

Andhra Pradesh inks pact with Tillman
Comprehensively review maintenance standards at UNESCO sites: Parliamentary panel to govt
Paradip Port along Odisha coast to receive 7 million barrels of crude
Kamal meets Vijay, submits 6 demands Tamil film industry’s development
ED arrests executive of Anil Ambani’s Reliance Group in fake bank guarantee-linked PMLA case
TAGGED:digital regulations impact on India's startupsIndia's startups growthoxford report on india startups
Share This Article
Facebook Email Print
Leave a Comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Follow US

Find US on Social Medias
FacebookLike
XFollow
YoutubeSubscribe
TelegramFollow

Weekly Newsletter

Subscribe to our newsletter to get our newest articles instantly!
[mc4wp_form]
Popular News

Election Commission-Trinamool Congress meeting ends on an acrimonious note

India Times Now Desk
India Times Now Desk
April 8, 2026
BEE gears up for 35th National Energy Conservation Awards
Who dies in Stranger Things Season 5? Finale spoilers explained
Traffic curbs in view of India-Hong Kong football match
Actor arrested on cheating charge
- Advertisement -
Ad imageAd image
Global Coronavirus Cases

Confirmed

0

Death

0

More Information:Covid-19 Statistics
© INDIA TIMES NOW 2026 . All Rights Reserved.
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?