FM Sitharaman Holds First-Ever Separate Pre-Budget Meeting With Startups; DPIIT Pushes for Revival of Seed Fund Scheme According to Emkay Global's latest report, the major schemes announced by the Bihar government ahead of the elections are set to cost over ₹400 billion in FY26, amounting to nearly 4% of the state's GDP, a figure higher than Bihar's total planned capital expenditure for the year.
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For the first time since she began presenting Union Budgets, Finance Minister Nirmala Sitharaman on Tuesday (November 18, 2025) held a dedicated pre-Budget consultation exclusively with startup founders and ecosystem stakeholders. The meeting, part of preparations for the Union Budget 2026–27, marks a significant shift in how the government is engaging with India's fast-growing innovation economy.
The Ministry of Finance confirmed the development on its official social media channels: "Union Minister for Finance & Corporate Affairs Smt. @nsitharaman chairs the fifth Pre-Budget consultation with the stakeholders from the startups ecosystem in connection with the forthcoming Union Budget 2026-27, in New Delhi, today."
Who attended the meeting
The session saw participation from representatives of Teal India, eVidyaloka, BoAt, Miko, Daalchini Technologies, IIMK Live, 100percent Nourishment, Gaja Capital, and Draftspotting Technologies, among others.
From the government's side, the meeting was attended by Pankaj Chaudhary, MoS Finance, Amardeep Singh Bhatia, Secretary, DPIIT, Anuradha Thakur, Secretary, Department of Economic Affairs, V. Anantha Nageswaran, Chief Economic Adviser.
DPIIT pushes for revival of Startup India Seed Fund Scheme
Parallel to the Finance Ministry's consultations, the Department for Promotion of Industry and Internal Trade (DPIIT) is expected to push for reinstating the Startup India Seed Fund Scheme (SISFS) in Union Budget 2026–27. As per the reports, one of the major suggestions from DPIIT will be on seed funds. The suggestion is to reinstate seed funds so that it is accessible to more startups.
Launched in April 2021 with an outlay of ₹945 crore, SISFS was designed to support early-stage startups in prototyping, trials, and market entry. The scheme expired in April 2025, leaving a gap in early-stage funding access.
More funding mechanisms under discussion
According to the official, discussions also covered: enhancing the corpus for the Fund of Funds, expanding credit guarantee funds for startups
The government has already launched the Startup Common Application Journey on the Jan Samarth portal, enabling startups to seek loans up to ₹20 crore across public sector banks under the Credit Guarantee Scheme.
The Department of Financial Services earlier said India aims to enable 500 well-financed startups within five years through strengthened Fund of Funds mechanisms.
Why the meeting matters
The standalone consultation with startups indicates a deeper recognition of the sector's influence on jobs, innovation, exports, and digital public infrastructure. With the 2026–27 Budget expected to signal the government's priorities for the next decade of India's digital and entrepreneurial growth, the policy inputs from founders could play a pivotal role.
