National Initiative for Developing and Harnessing Innovations (NIDHI)

National Initiative for Developing and Harnessing Innovations (NIDHI) is an umbrella programme conceived and developed by the Technology Translation and Innovation (TTI) Division/ National Science and Technology Entrepreneurship Development Board, of Department of Science & Technology, Government of India, for nurturing ideas and innovations (knowledge-based and technology-driven) into successful startups.

About National Initiative for Developing and Harnessing Innovations (NIDHI)

• The NIDHI programme works in line with the current national priorities and goals and its focus would be to build an innovation driven entrepreneurial ecosystem with an objective of national development through wealth and job creation.
• National Initiative for Developing and Harnessing Innovations aims to nurture Startups through scouting, supporting and scaling of innovations by providing them with a series of programme components tailored towards the critical initial phases of the Startup journey.
• The key stakeholders of NIDHI include Science & Technology based entrepreneurs, Startup Incubators, academic and R&D institutions, Startup mentors, financial institutions, angel investors, venture capitalists, relevant government & industry bodies and associations.
• National Initiative for Developing and Harnessing Innovations has been developed to suit the national aspirations and on the basis of DST’s three-decade long experience in propelling Startup Incubation centres and Science & Technology based entrepreneurs.

Key Components of National Initiative for Developing and Harnessing Innovations (NIDHI)

The key components of National Initiative for Developing and Harnessing Innovations (NIDHI) are:-

• NIDHI PRAYAS: Promotion and Acceleration of Young and Aspiring technology entrepreneurs – Support from Idea to Prototype
• NIDHI – EIR: Entrepreneur In Residence – Support system to reduce risk for entrepreneurs.
• NIDHI – TBI: Technology Business Incubator (NIDHI-TBI) – Converting Innovations to start-ups.
• NIDHI – iTBI: Inclusive- Technology Business Incubator – A new variant of the NIDHI-TBI launched in 2022-’23.
• NIDHI – Accelerator: Startup Acceleration Programme – Fast tracking a start-up through focused intervention.
• NIDHI – SSS: Seed Support System – Providing early stage investment
• NIDHI – COE: Centres of Excellence – Globally competitive facilities to help startups go global.

Significance of National Initiative for Developing and Harnessing Innovations (NIDHI)

• Startup Ecosystem Development – NIDHI supports early-stage startups by offering grants, seed funding, and incubation facilities, ensuring promising ideas transform into viable businesses.
• Financial Assistance – Through programs like NIDHI-PRAYAS, NIDHI-EIR, and NIDHI-Seed Support System, startups receive funding to develop prototypes, sustain business operations, and commercialize innovations.
• Innovation and Technology Growth – The initiative encourages research-based innovations, particularly in technology-driven sectors, ensuring India’s self-reliance in critical fields.
• Job Creation and Economic Growth – By nurturing startups, NIDHI contributes to employment generation and economic development, aligning with initiatives like Startup India and Make in India.
• Incubation and Mentorship – NIDHI helps establish Technology Business Incubators (TBIs) across India, offering infrastructure, expert guidance, and networking opportunities to entrepreneurs.
• Bridging the Gap Between Academia and Industry – By supporting academic institutions in innovation-driven entrepreneurship, NIDHI ensures technology transfer and commercialization of research-based products.

Lacunae of National Initiative for Developing and Harnessing Innovations (NIDHI)

• Limited Funding Accessibility – While NIDHI provides financial support, many startups struggle to access adequate funding due to bureaucratic delays and strict eligibility criteria. Seed funding and grants are often insufficient for scaling businesses.
• Slow Implementation and Bureaucratic Hurdles – The process of disbursing funds and approvals is often slow, delaying crucial support for startups. Lengthy administrative procedures discourage many innovators from applying.
• Lack of Awareness and Outreach – Many early-stage entrepreneurs, particularly in rural and tier-2/3 cities, are unaware of NIDHI’s benefits. There is a gap in effectively reaching grassroots innovators.
• Limited Industry Collaboration – While the initiative focuses on incubation and academia-driven entrepreneurship, industry participation remains limited. Stronger linkages between startups and established businesses could enhance commercialization prospects.
• Mentorship Gaps – Although NIDHI supports incubators, structured and experienced mentorship remains inadequate. Many startups require technical, financial, and market guidance, which is often lacking.
• Scalability and Sustainability Issues – Many startups supported by NIDHI struggle to sustain themselves post-funding due to market competition, limited investor interest, and lack of business acumen.

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Way Forward

To enhance NIDHI’s impact, the government should increase funding, expand incubator networks, and strengthen industry-academia collaboration. Simplifying application processes, promoting deep-tech startups, and enhancing global partnerships can further drive innovation. Regular policy reviews and impact assessments will ensure sustainable growth, fostering a stronger startup ecosystem in India.

Conclusion

NIDHI is a crucial initiative driving innovation, entrepreneurship, and startup growth in India. By providing financial support, incubation, and mentorship, it fosters a self-reliant ecosystem, boosting economic development and job creation. Aligning with Atmanirbhar Bharat and Startup India, NIDHI strengthens India’s position as a global innovation hub.