Thiruvananthapuram: The budget has announced schemes to boost startups in the state. Minister Thomas Isaac said that the major hurdle faced by startups is the lack of capital. Thomas Isaac announced three major decisions to tackle this during his budget presentation in the Assembly.
- Loans will be sanctioned to those who possess work orders from Government, major corporates or Institutes without asset security. The scheme would enable procurement of upto Rs. 10 crores, 90 percent of the work order, at a rate of 10 percent interest. Purchase orders will be given at a discounted rate.
- Upto Rs. One crore will be granted to startups for the development of product prototypes that adheres to sustainable development goals of the United Nations or required by any of the state departments.
- Stamp duty rates in the state will be reconsidered as companies tend to prefer Chennai or Bengaluru to set up their headquarters. The rate will be brought down to 30 percent and included in the financial bill.