The Startup ecosystem has vastly improved under Modi Government
It amazes me to see too much of Media hype centered on crazy Startup valuations. More recent news seems to be now sensationalizing the stress being faced by these Startups. In between these two extremes, there is an entire world which exists. I decided it’s best to give insights both on macro-view as well as ground-level experience in managing a Startup in India.
So, here I present the Part-1 of the Series of articles “Startup diaries”. Each week I would be taking the reader to different aspects of Startups and the Startup ecosystem.
In this series, I have also contrasted the Indian startup ecosystem with the Western one, so that readers can be aware of core realities in India and develop an understanding of beneficial actions of the Modi Government.
Startup diaries – Part-1: Political ecosystem
The most critical aspect of current times is that we have just come out of the “Lost decade”. India was a near $2 trillion economy in Dollar terms in 2004. The beneficial effects of work of previous Government showed up with a lag and economy boomed during 2004-2008.
The Rupee tanked from 40 to 68 to a USD by 2014.
Subsequent achievements of Government like increase in Forex reserves by $100 billion, massive action in railways, roads, power, ports, defense and huge number of schemes are a hallmark of Govt’s belief in seeing the glass half full.
If one goes by the media narrative, we are in midst of multiple duels – that of India vs Bharat (meaning the West-eulogizing ruling elite vs rural have not’s), that of neo-modern India (as a 70 year old independent nation) vs classical India (as an 8000 year civilization) as well as crony capitalism/ crony socialism vs market economy cohabiting with a welfare state. But taking the right decisions, beyond contradictions, has been the remarkable achievement of this Government.
The Startup system has too much of a direct connection to politics and macro-economics, not to get affected by the lost decade.
Some of my articles explained these issues in greater detail, see below:
More in next Part, next week