Out of the 1.52 lakh startups recognized under the Startup India programme by the Department for Promotion of Industry and Internal Trade (DPIIT), 5,063 — approximately 3.3% — have shut down as of December 5, 2024. This data was shared by Jitin Prasada, Minister of State in the Commerce Ministry, in a written reply to the Lok Sabha.
State-wise, Maharashtra recorded the highest number of closures, with 929 startups shutting down, followed by Karnataka with 644, Delhi with 593, Uttar Pradesh with 487, and Telangana with 301.
Job Creation Despite Closures
Despite the closures, startups under the programme have made a significant economic impact by creating over 16.6 lakh direct jobs across more than 55 industries as of October 31, 2024.
- IT Services: 2.04 lakh jobs
- Healthcare and Life Sciences: 1.47 lakh jobs
- Professional and Commercial Services: 94,060 jobs
- Education Startups: 90,414 jobs
- Construction Sector: 88,702 jobs
- Food and Beverage: 88,468 jobs
- Human Resources: 87,983 jobs
A Growing Ecosystem
While the closures highlight the challenges startups face, the ecosystem continues to grow and evolve, contributing significantly to employment and innovation in India.
