How much venture capital fund would be set up for space economy in India as announced by the Finance Minister in the Annual Financial Statement 2024-25?

Correct option is C

​The correct answer is (c) ₹1,000 crore

Explanation:

In the Union Budget for 2024-25, Finance Minister Nirmala Sitharaman announced the establishment of a ₹1,000 crore venture capital fund dedicated to India's space economy.

Information Booster:

• The fund is managed by the Indian National Space Promotion and Authorization Center (IN-SPACe) and is expected to deploy ₹150-200 crore annually over five years.
• this initiative aims to boost space startups, drive innovation, and strengthen India's global position in space technology.
• It aligns with Atmanirbhar Bharat and the 2020 space reforms to promote self-reliance and economic growth in high-tech industries.
• The Indian National Space Promotion and Authorization Center (IN-SPACe) was established in 2020 as part of the government’s comprehensive space sector reforms.
• Its purpose is to promote and oversee private sector involvement in space activities, serving as a key facilitator for space startups and businesses. 

Recent Development:

The Union Cabinet, led by Prime Minister Narendra Modi, has approved a ₹1,000 crore Venture Capital (VC) Fund to support India's space sector in October, 2025.

Objectives and Strategic Vision

• Capital Infusion – Provides early-stage financial support, encouraging additional investments and market confidence.
• Talent Retention – Prevents brain drain by offering domestic funding opportunities for Indian startups.
• Expanding the Space Economy – Aims for a five-fold growth of India's space sector in the next decade.
• Technological Advancements – Drives innovation, enabling sophisticated space solutions for domestic and global markets.
• Boosting Global Competitiveness – Reduces dependence on foreign technology, strengthening India’s position in space technology.
• Atmanirbhar Bharat – Supports indigenous startups, fostering a self-reliant space ecosystem.
• Innovation Ecosystem – Encourages collaboration and continuous technological advancements in the space sector.
• Economic Growth & Job Creation – Expected to generate thousands of jobs, enhancing the global competitiveness of Indian space enterprises.
• This fund will catalyze India's emergence as a global leader in space innovation, driving economic growth and technological progress.