IN-SPACe, SIDBI Sign ₹1,000 Cr Agreement to Boost India’s Space Startups

The Indian National Space Promotion and Authorisation Centre (IN-SPACe) and SIDBI (Small Industries Development Bank of India) Venture Capital Ltd (SVCL) have signed a contribution agreement to operationalise a ₹1,000 crore venture capital fund aimed at supporting India’s private space sector. 

The agreement, signed in Ahmedabad, marked the commencement of the fund’s investment activities following approval by the Securities and Exchange Board of India on October 31.

Arup Kumar, MD and CEO of SVCL, stated, “SVCL is committed to empowering India’s deep-tech and frontier technology entrepreneurs, and the space sector represents one of the most promising frontiers of national growth. This dedicated fund will give young companies the capital and confidence to innovate boldly.”

The fund will provide early and growth-stage ̉capital to startups engaged in launching technologies, satellite systems, in-space services, earth observation, communication platforms, and downstream applications. It aims to help enterprises scale and contribute to India’s national space capabilities.

The union cabinet approved the creation of the ₹1,000 crore fund in October 2024. SVCL was appointed as the fund manager in March 2025 due to its experience in supporting early-stage and technology-based enterprises.

Lochan Sehra, joint secretary at IN-SPACe, said, “This fund is a major enabler for India’s private space sector. It will support startups with the financial runway needed to test ideas, build indigenous technologies, and scale confidently.” He added that the agreement strengthens IN-SPACe’s commitment to building a dynamic space ecosystem.

IN-SPACe said the fund’s operationalisation represents a step towards building a self-reliant and competitive space industry. The organisation continues to promote private participation and support technological innovation through policy and funding initiatives.