Economy Survey 2020: India Ranks 3rd Globally In New Firm Set Ups

On the entrepreneurship development, the Economic Survey comes out with an attention drawing data. The services sector has seen an increase in the number of firms as against in the areas of manufacturing, infrastructure and agriculture. Globally, the country has stood third in the set up of new entities.

Economy Survey 2020: India Ranks 3rd Globally In New Firm Set Ups

Though literacy is not the only criteria spurring entrepreneurship, it disproportionately plays a significant role when literacy in the state is over 70%. And these states are helping the country achieve its ambitious "Startup India". States with the highest entrepreneurship activity include Delhi, UP, Kerala, Haryana and Andaman and Nicobar Islands.

Also it provides clarity and supports causes such as literacy and education that facilitates fostering entrepreneurship at the local level. Say for instance the eastern part of the country that has the lowest level of literacy of just 59.6% also accounts for the least number of new firms established.

In the agriculture sector, states in the highest quintile of relative entrepreneurial activity are Manipur, Meghalaya, Madhya Pradesh, Assam, Tripura and Orissa, and these regions are known for growing a particular agricultural produce.

Gujarat, Punjab, Rajasthan, Puduchurry and Meghalaya register substantial entrepreneurial activity in the area of manufacturing.

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