Finance | Page 9

Small and medium-sized businesses (SMEs) constitute the backbone of the Indian economy, making a considerable contribution to job creation and economic expansion. The demand for accessible and affordable financing solutions for SMEs has increased as a result of the government's emphasis on advancing the industry through programmes like Make in India, Digital India, and Startup India

Given the bad environment, the majority of investors (57%) expect a further reduction in fundraising activities in 2023. Fintech, Enterprise SaaS, and Climate-tech are the top three industries on investors' radars this year.

There is still a need for further reforms to create a more supportive environment for startups and angel investors in India, even though the new exemption guidelines have given startups and angel investors some relief by allowing the startups to claim exemption if their total investment does not exceed Rs 25 crore

Cautioning investors against ponzi apps, Sitharaman said investors should do their due diligence and should not be lured by claims of lucrative returns made by them