Startups in India have gained immense attention in the recent period especially since the Covid19 pandemic hit the country. Today, India proudly ranks 3 rd in the global start-up ecosystem worldwide which only looked as a far-fetched dream a few years back. Innovation in India has been at its peak yielding unicorns one after the other. Startups have got the much needed government support and mentoring which has given way to economic development, job creation, open innovation, easy availability of finance, changing perception towards entrepreneurs and penetration of technology. The main aim of this paper is to analyze the current framework of startup ecosystem in India and also emphasize on the drivers of growth, challenges, and the kind of support available to promote the startup culture. Sectors that require attention for the further growth of startup ecosystem in India have also been identified. The role of the Government of India as an enabler in promoting startups has been emphasized in this paper. The data included in the paper are all secondary in nature gathered from Government websites, renowned websites and journals among others. Relevant reviews of literature that support the reasons for growth of startups and discuss the challenges on the way have also been included.

Keywords : India, startup, startup ecosystem, innovation, growth, unicorn start-ups