Paper: GS – II, Subject: International Relations, Topic: Global issues, Issue: India’s global Startup push.
Context:
A significant milestone was achieved under India’s G20 Presidency in 2023: Startup20 was officially recognized as an Engagement Group of the G20.
Key Highlights:
Institutional Evolution in G20 Architecture:
| Pre-2023 | Post-2023 |
| All business-related issues were represented via Business20 (B20), dominated by large enterprises. | G20 recognized two platforms: B20: For large, established enterprises.Startup20: For emerging and early-stage ventures. |
Gradual Build-up to Startup20:
- 2015 (Turkey’s Presidency): SME & Entrepreneurship Task Force initiated.
- 2019 (Japan): Entrepreneurship Alliance launched.
- 2021 (Italy): First G20 Start-up Competition.
- Indonesia’s G20 Presidency (2022): Expanded Innovation League and start-up recognition efforts.
India’s Role:
- Initiation: India, with a booming start-up ecosystem, proposed and led the formalization of Startup20.
- Highlighted the potential: India highlighted dual strengths such as Stability from large firms (via B20) and Agility and innovation from start-ups (via Startup20).
- Identifying gaps: India identified two major gaps such as weak policy translation mechanisms and lack of institutional continuity.
- Proposed institutionalisation: India proposed a secretariat and “start-up-like” platform to bridge these issues.
- A structured process created to frame a policy communiqué focused on start-up ecosystems.
Proposals in India’s Startup20 Communiqué:
- Global Start-up Ecosystem Mission: Aim to raise G20 nations’ contribution to $1 trillion GDP by 2030.
- Establish Common global frameworks for funding, inclusivity, and innovation.
- Establish a Startup20 Secretariat for long-term engagement.
South Africa’s G20 Presidency (2025):
- Launched Startup20’s 2025 cycle in Johannesburg (July 21).
- Focussed themes:
For the first time, private-sector leadership in township innovation is being prioritized.
Broader Implications:
- Expands participation in policy-making to smaller enterprises.
- Brings ethical innovation and harmonized regulatory frameworks.
- Emphasizes South-South cooperation and inclusive growth.
- Offers a platform for voice and visibility to start-ups from underrepresented regions.
Conclusion:
Startup20 bridges the policy gap for global start-ups within G20. It reflects a new governance model that combines scale with speed, tradition with innovation. India played a pivotal role in shaping this inclusive evolution, now being carried forward by South Africa.
La Excellence IAS Academy, the best IAS coaching in Hyderabad, known for delivering quality content and conceptual clarity for UPSC 2025 preparation.
FOLLOW US ON:
◉ YouTube : https://www.youtube.com/@CivilsPrepTeam
◉ Facebook: https://www.facebook.com/LaExcellenceIAS
◉ Instagram: https://www.instagram.com/laexcellenceiasacademy/
GET IN TOUCH:
Contact us at info@laex.in, https://laex.in/contact-us/
or Call us @ +91 9052 29 2929, +91 9052 99 2929, +91 9154 24 2140
OUR BRANCHES:
Head Office: H No: 1-10-225A, Beside AEVA Fertility Center, Ashok Nagar Extension, VV Giri Nagar, Ashok Nagar, Hyderabad, 500020
Madhapur: Flat no: 301, survey no 58-60, Guttala begumpet Madhapur metro pillar: 1524, Rangareddy Hyderabad, Telangana 500081
Bangalore: Plot No: 99, 2nd floor, 80 Feet Road, Beside Poorvika Mobiles, Chandra Layout, Attiguppe, Near Vijaya Nagara, Bengaluru, 560040
