With an aim to provide ease of access to business providers and clear paths for setting up businesses in India, the Government of India has restructured several departments and established new bodies to support business growth. The Department for Promotion of Industry and Internal Trade (DPIIT) plays a key role in promoting the country’s industrial development by encouraging investments in new technologies, formulating the Central Government’s industrial policy and fostering balanced growth within the industrial ecosystem.
Start-up Ecosystem - The DPIIT has been at the forefront of transforming the startup ecosystem through strategic initiatives that foster innovation and empower entrepreneurs to drive growth. The Government has launched several programs to support startups nationwide, such as the Startup India Action Plan, Credit Guarantee Scheme for Startups (CGSS), income tax exemptions, and the National Startup Awards (NSA). As of January 2025, India has over INR 0.159 Million DPIIT-recognized startups, generating employment for nearly 1.7 million people and reinforcing its position as the world’s third-largest startup ecosystem6.
Green Logistics Industry7 - The Government has implemented several initiatives to promote a sustainable logistics industry through digitalization and automation. The PM GatiShakti National Master Plan (NMP) platform aims to boost industrial productivity and help the country achieve its green logistics and clean energy goals by enhancing multi-modal connectivity across highways, railways, ports, airports, logistics infrastructure, and inland waterways, all with the objective of supporting sustainable economic activities. Similarly, the National Logistics Policy (NLP 2022) focuses on promoting digital technology adoption through modernization. Other initiatives, such as the Unified Logistics Interface Platform (ULIP), Logistics Data Bank (LDB), GatiShakti Multi-Modal Cargo Terminal (GCT), and Freight Greenhouse Gas (GHG) Calculator, have enabled data-driven decision- making in the logistics industry. In 2025, the Government further advanced these efforts through GatiShakti 2.0 introducing digital-twin planning tools and accelerating the development of multi-modal logistics parks across states. ULIP adoption expanded across ports, airports, and customs systems to enhance end-to-end supply-chain transparency, while the Logistics Data Bank (LDB) was extended to additional ICDs and CFSs, supporting India’s goal of reducing logistics costs to 7–8% of GDP by 2030.
Invest India8 is the country's official Investment Promotion and Facilitation Agency, serving as the primary point of reference for potential investors. Their domain and functional experts provide sector and state-specific inputs and hand-holding support to investors through the entire investment cycle, from pre-investment decision-making to policy impact analysis and expansion advisory. They assist with location identification, expediting regulatory approvals, facilitating meetings with relevant government/ corporate officials, and providing after-care services that include initiating remedial action on problems faced by investors.
NITI Aayog (National Institution for Transforming India)9 serves as the policy think tank of the Indian Government, focused on enhancing the country’s economic growth. It plays a key role in shaping India's development agenda, monitoring and evaluating the implementation of various government programs and policies and working towards transforming India into a prosperous and inclusive society. In 2025, it is leading the formulation of the Viksit Bharat @2047 blueprint, outlining India’s goal to become a USD 30 trillion economy by 2047.
IndiaAI Mission10 Launched in 2024 and expanded in 2025, the IndiaAI Mission supports AI startups and deep-tech enterprises by providing access to compute infrastructure, GPUs, and state-level AI innovation centers. The government has committed ~USD 1.2 billion over five years, including the deployment of 38,000 GPUs. This mission aims to position India as a global hub for emerging technologies and AI-led economic growth.
Ministry of Micro, Small & Medium Enterprises (MSME)11 - The MSME sector remains a cornerstone of India’s economy, and the Government has introduced several reforms to accelerate its growth in 2025. Key initiatives include Udyam 2.0, a revamped platform enabling streamlined MSME registration and integrated services; the Digital Credit Guarantee Scheme (DCGS), which facilitates faster, collateral-free loans for micro and small businesses; and enhanced support for ZED (Zero Defect Zero Effect) certification to promote quality, sustainability, and export readiness. Together, these measures aim to help MSMEs adopt global standards, scale operations, and integrate more effectively into global value chains.
In addition to the Central Government agencies mentioned above, each state has its own investor facilitation centers and industrial corporations to assist companies with land acquisition, obtaining necessary registrations, and other requirements. States also formulate dedicated industrial policies to attract new investments. To encourage investment, states offer a variety of incentives based on factors such as sector, location, investment size, and employment generation. These incentives include Investment Promotion Subsidy (IPS), exemptions from stamp duty and electricity duty, GST reimbursement, and more.