Punjab CM Bhagwant Mann distributes ₹1.07 crore seed grants to 31 startups
Synopsis
Punjab CM Bhagwant Mann handed out ₹1.07 crore in seed grants to 31 startups under a revised policy that raises the ceiling to ₹5 lakh — and used the moment to draw a pointed parallel: AAP, he argued, was itself a startup that swept out the old political order with a broom.
Key Takeaways
Punjab CM Bhagwant Mann distributed ₹1.07 crore in seed grants to 31 startups on Tuesday in Chandigarh .
Under the Punjab Startup and Industrial Policy 2026 , the seed grant ceiling has been raised from ₹3 lakh to ₹5 lakh .
Seven startups received ₹5 lakh each ; 24 startups received ₹3 lakh each .
Mann described AAP as a 'startup that cleaned the political system with its symbol of the broom.' The government aims to make Punjab the startup hub of India and reduce youth migration abroad.
Punjab Chief Minister Bhagwant Mann on Tuesday distributed seed grants totalling ₹1.07 crore among 31 startups and their founders in Chandigarh, describing entrepreneurship as a cornerstone of the state's economic future. The disbursement comes under the Punjab Startup and Industrial Policy of 2026, which has raised the seed grant ceiling from ₹3 lakh to ₹5 lakh per startup.
Grant Breakdown
Of the 31 startups that received support, seven were awarded the enhanced grant of ₹5 lakh each, while the remaining 24 received ₹3 lakh each. The Chief Minister affirmed that the Punjab government is committed to ensuring no promising idea is abandoned solely due to a lack of financial backing.
What the Chief Minister Said
'Today is a historic day for Punjab's industry, especially for our young entrepreneurs who are beginning their business journey with innovative ideas and a spirit of innovation,' Mann told the gathering. He added that these young founders are 'turning their dreams into reality through innovative ideas and they truly deserve this support.'
Drawing a parallel between politics and entrepreneurship, Mann remarked that the Aam Aadmi Party (AAP) was itself born as an idea at a time when dynastic politics dominated and the common man had been sidelined. 'In many ways, AAP was also a startup that cleaned the political system with its symbol of the broom,' he said.
Political Context
Mann also referenced the 2022 Punjab Assembly elections, in which, he claimed, voters rejected seven former Chief Ministers and their families, handing power to what he described as an honest government. He argued that this political shift has placed Punjab among the frontrunner states in the country.
Broader Policy Push
The Chief Minister highlighted that innovation has become a defining feature of governance under his administration, pointing to initiatives such as free electricity and daytime power supply for farmers as examples of reform-driven governance. He expressed confidence that the funded startups would generate thousands of jobs and help curb the trend of Punjab's youth seeking employment abroad. Mann reiterated the state's ambition to emerge as the startup hub of India, backed by sustained policy support for entrepreneurship and enterprise.
Point of View
But its deployment here signals the party's continued effort to frame governance as disruption. The real question is whether ₹1.07 crore spread across 31 ventures — averaging under ₹3.5 lakh per startup — is enough to meaningfully reduce Punjab's youth emigration, one of the state's most persistent structural problems. Raising the ceiling to ₹5 lakh is a step, but it remains modest against the capital requirements most tech-facing startups face at seed stage. The policy's impact will ultimately be measured not by disbursement events, but by how many of these 31 ventures are still operating in three years.
NationPress
11 Aug 2026
Frequently Asked Questions
How much seed grant did Punjab distribute to startups?
Punjab Chief Minister Bhagwant Mann distributed a total of ₹1.07 crore in seed grants to 31 startups on Tuesday in Chandigarh. Seven startups received ₹5 lakh each and 24 received ₹3 lakh each.
What is the Punjab Startup and Industrial Policy 2026?
It is a state government policy under which seed grant assistance for startups has been raised from ₹3 lakh to ₹5 lakh per venture. The policy is aimed at fostering entrepreneurship and positioning Punjab as a startup hub.
Why did CM Mann compare AAP to a startup?
Mann drew the parallel to argue that AAP, like a startup, emerged as a disruptive idea in a political landscape dominated by dynastic parties. He said AAP 'cleaned the political system with its symbol of the broom,' linking the party's origin story to the spirit of entrepreneurship he was celebrating.
How does this initiative aim to address Punjab's youth migration?
Mann expressed confidence that the funded startups would generate thousands of jobs locally, reducing the need for Punjab's youth to seek employment abroad — a long-standing concern in the state.
Who is eligible for seed grants under Punjab's startup policy?
The grants are targeted at early-stage startup founders with innovative business ideas. The current disbursement covered 31 startups, with grant amounts varying between ₹3 lakh and ₹5 lakh depending on the assessment under the Punjab Startup and Industrial Policy 2026.
