India's Startup Count Crosses 2.62 Lakh, Over Half Now From Smaller Cities
DPIIT-recognised startups have created more than 25 lakh jobs, and FY2025-26 saw a record 55,200 new recognitions.
India now has more than 2.62 lakh startups recognised by the Department for Promotion of Industry and Internal Trade (DPIIT), keeping the country's position as the third-largest startup ecosystem in the world.
According to government figures up to October 2026, these startups have created more than 25 lakh jobs.
A record year
Over 55,200 startups were recognised in FY2025-26 alone, the highest for any single year since the Startup India programme began. The jump reflects both easier registration and a growing number of founders building in technology, services and manufacturing.
Beyond the metros
About 52% of recognised startups are now based outside the big metro cities. Tier-2 and tier-3 cities such as Indore, Jaipur, Coimbatore, Nagpur and Pune's surrounding belt are seeing more founders build for local markets, from agritech and edtech to local commerce and event services.
Funding support
The Fund of Funds for Startups, run through SIDBI, has a corpus of Rs 10,000 crore and invests through SEBI-registered venture funds rather than directly in companies.
The challenge now is depth rather than numbers. Founders say access to early capital, mentoring and enterprise customers outside the metros still lags, and the next phase will depend on how many of these startups can scale beyond their first market.