Working Group

The Digital India Fund team has been engaging with various stakeholders in the broadband and digital services ecosystem. We have been closely following developments such as the creation of special incentives by agencies such as DST and DEITY, modification of Alternative Investment Fund guidelines with special provisions for Venture Capital Funds and provision of tax benefits to investors in the Venture Capital ecosystem.

In 2009, a working group comprising of key leaders from the Venture Capital industry studied the issues impacting the success of the broadband sector. The team interacted with various government departments, multi-lateral agencies, existing schemes of DST etc. Team members also studied the framework for broadband revitalization in other countries, mainly China, Taiwan, Korea and Japan in addition to Singapore, Germany, Canada and USA. During the course of these interactions, it clearly emerged that there was a compelling need for the creation of a Digital India focused Investment Corporation in India.

Subsequently, the team carried out detailed interactions with the stock exchanges, the concerned administrative ministries, the Ministry of Finance, SEBI etc to evolve the framework for the creation of an innovation supporting nodal financial institution focused on providing equity and convertible instruments to the broadband and digital sector. The team also studied the regulatory and operating structure for the National Skill Development Corporation which is a similar PPP initiative in the skill development space.