Union Budget 2024-25: Startups Aim to Increase India's Space Economy Fivefold

The interim budget at the beginning of the year saw a significant boost in funding for the Indian space sector, with an increase of ₹500 crore, bringing the total allocation to ₹12,544 crore. This substantial investment will greatly benefit space tech startups in developing indigenous technology and solutions. Arpan Sahoo, Co-founder and COO of KaleidEO, remarked that the establishment of the ₹1000 crore VC fund fills a critical funding gap in early-stage space R&D. He believes this initiative will be transformative in building sovereign capabilities, fostering local intellectual property creation, and driving innovation. Sahoo is confident that these funds will enable startups to attract talent, set up local facilities, and develop export potential over the next decade.

Growth of Space Startups The economic survey for 2023-24 emphasized that India currently operates 55 active space assets, including Earth observation satellites, meteorological satellites, navigation satellites, and communication satellites. These satellites are essential for various functions such as Earth observation, communication, and weather forecasting.