**Executive Summary:**
The Ministry of Electronics and Information Technology addresses a Lok Sabha question regarding the contribution of the Software Technology Parks of India (STPI) in expanding the IT sector to Tier 2 and Tier 3 cities. It details initiatives, including the establishment of incubation centers and Centres of Entrepreneurship (CoEs), job creation, software export achievements, startup support, and the implementation status of the National Policy on Software Products (NPSP) 2019. The information provided covers the period from 2019 to 2025, with estimates for the financial year 2024-25.
**Key Points / Main Content:**
* **IT Sector Growth:**
* The Government of India is actively promoting IT sector growth in smaller towns and cities.
* The IT sector has seen revenue growth from USD 191 billion in 2019-20 to an estimated USD 282.6 billion in 2024-25.
* **STPI Initiatives:**
* 68 STPI centers have been established across the country, with 60 in Tier 2/Tier 3 cities (see Annexure I).
* STPI has established 9 new incubation centers in the last five years (see Annexure II).
* 15 new Centres of Entrepreneurship (CoEs) have been established, bringing the total to 24 (see Annexure III).
* **Startup Support:**
* STPI has supported 1,121 startups with a total outlay of Rs 445.77 Cr.
* Rs 39.86 Cr was disbursed as direct funding to 590 startups in the last 3 financial years.
* **Employment:**
* STPI-registered units in non-metro cities reported 2,98,250 jobs as of March 31, 2025.
* Approximately 9,800 jobs have been reported by startups in non-metro areas supported by CoEs and the Next Generation Incubation Scheme (NGIS).
* **Software Exports:**
* Total software exports by STPI-registered units reached approximately Rs 10.64 lakh crore in FY 2024-25.
* **National Policy on Software Products (NPSP) 2019:**
* The policy aims to transform India into a global hub for software products.
* It promotes Intellectual Property (IP) creation and boosts domestic demand and exports.
* MeitY has initiated programs like FutureSkills Prime, NGIS, SAMRIDH, GENESIS, TIDE 2.0, DigiSAPNE, NLTM BHASHINI, and CoEs to achieve NPSP 2019 objectives.
* **IT Industry Transformation (2019-2025):**
* Direct employment increased from 4.14 million to 5.8 million.
* Total industry revenue grew from USD 177 billion to USD 283 billion.
* Exports increased from USD 136 billion to USD 224.4 billion.
* The number of startups increased from 7,200 to over 32,000.
* Patent filings increased from 4,331 to 90,000.
**Impact Analysis:**
* **IT Professionals:**
* *Impact:* Opportunities for reskilling and upskilling in emerging technologies.
* *Action Required:* Engage with FutureSkills Prime and other relevant programs.
* **Startups (Especially in Tier II and Tier III Cities):**
* *Impact:* Increased access to incubation, funding, and market opportunities.
* *Action Required:* Utilize STPI centers, CoEs, NGIS, and other support schemes.
* **Software Product Companies:**
* *Impact:* Benefit from policies promoting IP creation and export opportunities.
* *Action Required:* Align with NPSP 2019 objectives and participate in relevant initiatives.
* **Job Seekers:**
* *Impact:* More job opportunities in non-metro cities within the IT sector.
* *Action Required:* Explore employment opportunities with STPI-registered units and supported startups.
Key Entities Referenced
Software Technology Parks of India STPI: An organization under the Ministry of Electronics and Information Technology, Government of India, focused on promoting IT/ITES exports from India.
National Policy on Software Products NPSP 2019: A policy by the Government of India to develop India as a global hub for software products and promote Intellectual Property creation.
NASSCOM: A trade association of the Indian Information Technology and Business Process Outsourcing industry.
Ministry of Electronics and Information Technology: The ministry responsible for IT policy and strategy in India.
SHRI ASHWINI VAISHNAW: Minister for Electronics and Information Technology
Next Generation Incubation Scheme NGIS: A scheme to support tech startups in Tier II and Tier III cities to boost inclusive growth in innovation.
Centres of Entrepreneurship CoEs: Domain-specific centers across India to foster innovation, incubation, and mentoring for startups.
Bhubaneswar, Odisha: Tier II/III city in Odisha, India, location of Emerging Technology CoE Emerging Tech
GOVERNMENT OF INDIA
MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY
LOK SABHA
STARRED QUESTION NO. *250
TO BE ANSWERED ON: 06.08.2025
CONTRIBUTION OF STPI IN IT SECTOR
*250. SHRI PUTTA MAHESH KUMAR:
Will the Minister of ELECTRONICS AND INFORMATION TECHNOLOGY be pleased to state:
(a) whether the Government is actively working to expand Information Technology(IT) sector
growth into tier 2 and tier 3 cities through the Software Technology Parks of India (STPI);
(b) if so, the details of the initiatives undertaken along with the number of incubation centres
established in such cities during the last five years;
(c) whether the STPI 2.0 growth plan has contributed to job creation in non-metro areas and if so,
the details thereof;
(d) the total software exports achieved by STPI-registered units during the Financial Year 2024-
25;
(e) the number of start-ups supported by STPI during the last three years along with the details of
total funding and revenue generated by these start-ups; and
(f) the current status of implementation of the National Policy on Software Products (NPSP) 2019?
ANSWER
MINISTER FOR ELECTRONICS AND INFORMATION TECHNOLOGY
(SHRI ASHWINI VAISHNAW)
(a) to (f): A Statement is laid on the Table of the House.STATEMENT REFERRED TO IN REPLY TO LOK SABHA STARRED QUESTION NO.
*250 FOR 06.08.2025 REGARDING ‘CONTRIBUTION OF STPI IN IT SECTOR’.
(a) to (f): Government of India is actively promoting the growth of the IT sector, especially in
smaller towns and cities. The performance of this sector over the last 5 years and estimates for
2024-25 are mentioned below:
(in billion dollars)
2019-20 2020-21 2021-22 2022-23 2023-24 2024-25(E)
Export revenue 147 152 178 194 199.5 224.4
Domestic revenue 44 45 49 51 54.4 58.2
Total Revenue 191 196 227 245 254 282.6
(E) = Estimate Source: NASSCOM
The Software Technology Park of India (STPI) is an important initiative to expand the IT/ITES
sector beyond major cities in India. The details are as follows:
● 68 STPI centres have been established across the country, of which 60 are located in Tier-
2 & Tier-3 cities. State/UT wise list of STPI centres placed at Annexure - I.
● In the last five years, STPI has established 9 new incubation centres across the country.
(Details in Annexure-II)
● Additionally, 15 new Centres of Entrepreneurship (CoEs) have been established (List in
Annexure-III), bringing the total number of CoEs to 24.
● With a total outlay of Rs 445.77 Cr, STPI has supported 1,121 startups through various
schemes/programs.
● Rs 39.86 Cr was disbursed as direct funding to 590 startups during last 3 financial years.
The employment reported by STPI-registered units in non-metro cities is 2,98,250 (as on 31st
March 2025). In addition, approximately 9,800 jobs have been reported by startups from non-
metro areas that are supported under the CoEs and the Next Generation Incubation Scheme (NGIS)
The total software exports achieved by STPI-registered units is approximately ₹10.64 lakh crore
in FY 2024–25.
National Policy on Software Products (NPSP) 2019
The policy has played a significant role in reshaping India’s IT sector from a service-led industry
to a product-driven digital economy. The policy aims to develop India as a global hub for software
products, promote Intellectual Property (IP) creation, and boost domestic demand and exports of
software products.
To achieve the objectives of NPSP 2019, MeitY has initiated various programs, including:
Initiative DescriptionRe-skilling/ up-skilling of IT professionals in new/emerging
FutureSkills Prime
technologies including AR/VR, IoT, Big Data Analytics, AI etc
NGIS (Next Generation Supports tech startups in Tier-II and Tier-III cities to boost inclusive
Incubation Scheme) growth in innovation
Provides market access and investor connect to startups for scaling
SAMRIDH
through accelerators
Aims to identify, nurture and empower 10,000 youth-led startups
GENESIS
from across India
Facilitates technology entrepreneurship through financial and
TIDE 2.0
infrastructural support in incubators
Supporting startups in the North East by helping them scale into
Digi-SAPNE
large ventures creating tech solutions of societal impact
National Language Translation Mission (NLTM) to transcend the
BHASHINI
language barrier for digital access.
Centres of Domain-specific centres across India to foster innovation, incubation,
Entrepreneurship (CoEs) and mentoring for startups.
As per NASSCOM, between 2019 and 2025, India’s IT/Tech industry has witnessed significant
growth and transformation:
2019 2024/2025
Direct Employment 4.14 million 5.8 million
Total Industry Revenue USD 177 billion USD 283 billion
Exports USD 136 billion USD 224.4 billion
Domestic Revenue USD 41 billion USD 58.2 billion
Number of Startups ~7,200 Over 32,000
Patent Filings 4,331 90,000 (2024)
*********Annexure-I
State/UT wise list of 68 STPI Centres
S.N. Centre Name Tier State
1 Kakinada Tier II/III Andhra Pradesh
2 Tirupati Tier II/III
3 Vijayawada Tier II/III
4 Vishakhapatnam Tier II/III
5 Guwahati Tier II/III Assam
6 Patna Tier II/III Bihar
7 Bhagalpur Tier II/III
8 Darbhanga Tier II/III
9 Bhilai Tier II/III Chhattisgarh
10 Gandhinagar Tier II/III Gujarat
11 Surat Tier II/III
12 Shimla Tier II/III Himachal Pradesh
13 Jammu Tier II/III Jammu and Kashmir
14 Srinagar Tier II/III
15 Ranchi Tier II/III Jharkhand
16 Deoghar Tier II/III
17 Bangalore Tier I Karnataka
18 Hubli Tier II/III19 Mangalore Tier II/III
20 Manipal Tier II/III
21 Mysore Tier II/III
22 Davangere Tier II/III
23 Thiruvananthapuram Tier II/III Kerala
24 Kochi Tier II/III
25 Gwalior Tier II/III Madhya Pradesh
26 Indore Tier II/III
27 Bhopal Tier II/III
28 Chhatrapati Sambhajinagar Tier II/III Maharashtra
29 Kolhapur Tier II/III
30 Nagpur Tier II/III
31 Nasik Tier II/III
32 Navi Mumbai Tier I
33 Pune Tier I
34 Imphal Tier II/III Manipur
35 Shilong Tier II/III Meghalaya
36 Berhampur Tier II/III Odisha
37 Bhubaneswar Tier II/III
38 Rourkela Tier II/III
39 Jajpur Tier II/III
40 Koraput (Jayepore) Tier II/III
41 Pondicherry Tier II/III Pondicherry
42 Mohali Tier II/III Punjab
43 Jaipur Tier II/III Rajasthan44 Jodhpur Tier II/III
45 Gangtok Tier II/III Sikkim
46 Chennai Tier I Tamil Nadu
47 Coimbatore Tier II/III
48 Madurai Tier II/III
49 Tirunelveli Tier II/III
50 Trichy Tier II/III
51 Hyderabad Tier I Telangana
52 Warangal Tier II/III
53 Prayagraj Tier II/III Uttar Pradesh
54 Kanpur Tier II/III
55 Lucknow Tier II/III
56 Noida Tier I
57 Meerut Tier II/III
58 Dehradun Tier II/III Uttarakhand
59 Durgapur Tier II/III West Bengal
60 Haldia Tier II/III
61 Kharagpur Tier II/III
62 Kolkata Tier I
63 Siliguri Tier II/III
64 Aizawl Tier II/III Mizoram
65 Gurugram Tier I Haryana
66 Agartala Tier II/III Tripura
67 Goa Tier II/III Goa
68 Kohima Tier II/III NagalandAnnexure – II
List of 9 new STPI incubation centres established in last five years
Sl. No State Centre Name Year of
Establishment
1 Bihar Darbhanga 2025
2 Odisha Jajpur 2025
3 Odisha Koraput 2025
4 Bihar Bhagalpur 2024
5 Kerala Kochi 2024
6 Karnataka Davanagere 2022
7 Nagaland Kohima 2021
8 Uttar Pradesh Meerut 2021
9 Madhya Pradesh Bhopal 2020
Annexure – III
List of Centres of Entrepreneurship (CoEs) established during last five financial years
# Name of the CoE with Domain/ Theme Year of
location Establishment
1 Emerging Technology CoE Emerging Tech 2022
at Bhubaneswar and
Rourkela (EmTek)
2 Blockchain CoE at Blockchain 2020
Gurugram (APIARY)
3 Gaming, VFX, Computer Gaming, Animation, VFX, 2020
Vision & AI CoE at Computer Vision, AI
Hyderabad (IMAGE)
4 IoT in Agriculture CoE at IoT & ICT (Agriculture / Agri- 2021
Dr. Panjabrao Deshmukh Tech)
Krishi Vidyapeeth
(PDKV), Akola CoE at
Akola (FASAL)
5 OCTANE CoE with Internet of Things (IoT) in 2020 & 2021
Startup Innovation Zone Agriculture
(CoE-SIZ) along with e-Commerce facilitation-
Guwahati
6 OCTANE CoE with Start- Animation
up Innovation Zone (CoE-
SIZ) along with e-
Commerce facilitation-
Shillong
7 OCTANE CoE with Emerging Tech with focus on
Startup Innovation Zone Augmented/Virtual Reality
(CoE-SIZ) along with e- (AR/VR)
Commerce facilitation-
Imphal
8 OCTANE CoE with Start Gaming and Entertainment
up Innovation Zone (CoE-
SIZ) along with e-
Commerce facilitation-
Aizawl
9 OCTANE CoE with IT application in Healthcare and
Startup Innovation Zone Agritech
(CoE-SIZ) along with e-
Commerce facilitation-
Gangtok
10 OCTANE CoE with IT application in Graphic design
Startup Innovation Zone
(CoE-SIZ) along with e-
Commerce facilitation-
Kohima
11 OCTANE CoE with GIS application including drone
Startup Innovation Zone technology
(CoE-SIZ) along with e-
Commerce facilitation-
Itanagar
12 OCTANE CoE with Data Analytics and AI
Startup Innovation Zone
(CoE-SIZ) along with e-
Commerce facilitation-
Agartala13 Industry 4.0 CoE at AI/ML, AR/VR, Industrial 2021
Vishakhapatnam Automation Industrial Robotics
(KALPATARU)
14 Efficiency Augmentation Industry 4.0 2023
at Bengaluru
15 FinGlobe at Gandhinagar FinTech 2024
*****