The Government has set up an Innovation Fund for inclusive economic growth. National Innovation Council in collaboration with Ministry of Micro, Small and Medium Enterprises (MSME) has proposed to set up a dedicated fund in the name of ‘India Inclusive Innovation Fund’ for promoting grass root innovations with social returns as well as modest economic returns. This fund would, operate as a for-profit entity with a social investment focus. The India Inclusive Innovation Fund would back enterprises developing innovative solutions primarily for citizens who lie in the low half of India’s economic pyramid, with limited physical and institutional access to basic services. At present, the scheme is at the stage of consideration by the Expenditure Finance Committee (EFC).

This was stated by Minister of State for Finance, Shri Namo Narain Meena, in written reply to a question in the Lok Sabha today.

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(Release ID :95159)

Inclusive innovation fund to back for profit social investments serving low income populations, subject to government approval. The India Inclusive Innovation Fund is proposed as a dedicated, for profit social investment vehicle to back grassroots enterprises that deliver social returns and modest economic returns for citizens in the lower half of the economic pyramid with limited access to basic services. The proposal, developed through a public sector collaboration, remains under formal executive financial consideration and is intended to combine investment discipline with an explicit social impact mandate.