With 88 recognised incubators, financial incentives and a new Startup Policy 2026, Uttar Pradesh strengthens its position as India’s third-largest startup ecosystem
Lucknow: Uttar Pradesh is witnessing a significant shift in its employment landscape, with an increasing number of young people choosing entrepreneurship and job creation over conventional job-seeking. Under Chief Minister Yogi Adityanath’s leadership, the state has emerged as India’s third-largest startup ecosystem, with more than 24,000 government-registered startups and 88 government-recognised incubators.
More than 3,500 startups are registered under the state’s ‘Start in UP’ initiative. The growing ecosystem reflects the expansion of innovation, technology and entrepreneurship across the state, supported by policy interventions, financial assistance and institutional partnerships.
To give startup culture an institutional foundation, the state government notified the Uttar Pradesh Startup Policy 2020 on July 15, 2020. It aimed to build an ecosystem of 10,000 startups and establish a network of at least 100 incubators across different regions. The policy was subsequently amended on November 9, 2022, to address changing requirements and provide better opportunities and facilities to aspiring entrepreneurs.
Focus on Deep-Tech and Emerging Technologies
The government is also focusing on research-driven enterprises and advanced technologies. Under its plan to establish eight state-of-the-art Centres of Excellence, facilities for medical electronics and health technology at Sanjay Gandhi Postgraduate Institute of Medical Sciences and artificial intelligence at IIT Kanpur’s Noida campus are operational.
Seven additional Centres of Excellence have been approved in emerging fields, including artificial intelligence and machine learning, meditech, drones, 5G and 6G, telecommunications, blockchain and additive manufacturing. These centres are expected to provide young entrepreneurs, researchers and technology professionals with opportunities to develop technology-led ventures.
Startup Policy 2026 to Expand Opportunities
Taking into account changing technological and industrial requirements, the Yogi government notified the new Uttar Pradesh Startup Policy 2026 on July 10, 2026, following the completion of five years of the earlier policy.
The state Cabinet has also approved a proposal to establish the Uttar Pradesh Startup Mission Directorate to strengthen startup, incubation and innovation activities. In another major initiative, proposals to develop U-Hubs, or Deep-Tech Hubs, in Noida and Lucknow have received Cabinet approval. These hubs are expected to facilitate coordination among technology innovators, research institutions, investors and startups.
Financial Assistance Exceeds Rs 38 Crore
The state government has extended financial assistance to startups and incubators through various incentive schemes. So far, 150 startups have received Rs 123.14 lakh as sustenance allowance, while 440 startups have been provided Rs 1,457.425 lakh in seed capital and marketing assistance. Another 111 startups have received Rs 539.86 lakh for prototype development.
Additionally, 59 incubators have received Rs 1,347.54 lakh towards operational expenses, while 16 incubators have been provided Rs 365.56 lakh as capital grants. The total assistance extended to startups and incubators stands at Rs 3,833.525 lakh, or approximately Rs 38.34 crore.
At the Uttar Pradesh Startup Ecosystem programme held on August 27, 2026, Chief Minister Yogi Adityanath distributed financial incentives exceeding Rs 3.42 crore to 107 startups and Rs 1.79 crore to nine incubators. The UP Startup Mission website was also launched to improve access to government schemes and support facilities.
Women Entrepreneurs Strengthen Startup Landscape
Women-led ventures are emerging as an important part of the state’s startup growth story. More than 11,000 startups registered with the Department for Promotion of Industry and Internal Trade (DPIIT) are led by women, reflecting their increasing participation in entrepreneurship and innovation.
In addition, 48 Uttar Pradesh-based startups are receiving funding through the Small Industries Development Bank of India (SIDBI).
The state’s 88 recognised incubators provide mentoring, technical assistance and business opportunities across sectors such as information technology, fintech, healthcare, education, agriculture and social impact.
Uttar Pradesh has also secured the ‘Top Performer’ category in DPIIT’s annual State Startup Ranking. With policy support, financial incentives, institutional partnerships and a growing focus on deep-tech innovation, the state government aims to further strengthen its position as a national hub for entrepreneurship and technology-led businesses.
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