February 24, 2026

Startup Boost: Himachal Rolls Out Innovation Fund

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In a significant move to encourage youth entrepreneurship, Urban Development and Town Planning Minister Rajesh Dharmani announced the launch of a Startup and Student Innovation Policy under the Himachal Pradesh Urban Development Authority (HIMUDA). As part of this initiative, a Rs. 25 lakh startup fund has been allocated for the current year to support innovative, youth-led startup projects across the state.

Under the policy, eligible startups will receive funding of up to Rs. 5 lakh, aimed at helping young entrepreneurs turn their ideas into viable business ventures. The initiative is expected to create a supportive ecosystem for innovation, accelerate economic development, and generate new employment opportunities in Himachal Pradesh.

The Minister emphasized the state government’s broader vision of integrating innovation with sustainable and planned development. He directed HIMUDA officials to ensure timely execution of ongoing infrastructure projects while maintaining alignment with environmental and urban planning standards.

As part of tourism development, Dharmani announced the creation of a Tourism Village in Narghota, Kangra district, to promote local culture and boost the region’s tourism potential. Additionally, HIMUDA has been asked to explore the development of Spiritual Township projects, aimed at enhancing religious and wellness tourism in the state.

To position Himachal Pradesh as an emerging IT destination, the Minister reviewed the progress of ongoing IT Township projects, and also assessed the Mountain City project in Jathiya Devi, Shimla, which is designed to reduce congestion in the state capital.

To strengthen HIMUDA’s operational capacity, several long-standing non-functional posts have been streamlined, and 46 new positions across various categories have been created. This organizational restructuring aims to enhance efficiency and support the execution of new development initiatives under the startup and innovation policy.

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