Finance Ministry deposes before parliamentary panel on SVB implosion impact startups

Ministry of Finance and Reserve Bank of India top officials deposed before a parliamentary panel on April 3 to discuss the global crisis and its impact on India.

The agenda was, hearing of views of representatives of Indian Private Equity and Venture Capital Association (IVCA) on the subject ‘Impact of crisis in certain Global Banks on India’s startup ecosystem.

Briefing by representatives of Ministry of Finance (Department of Financial Services), Reserve Bank of India (RBI) and Indian Banks’ Association (IBA) on the subject ‘Impact of crisis in certain Global Banks on India’s startup ecosystem, the Standing Committee for Finance was chaired by Bharatiya Janata Party (BJP) MP Jayant Sinha. Representatives of ‘The Indian Private Equity and Venture Capital Association (IVCA)’ were also present.

The panel discussed global financial developments and how it impacts a country like India which is taking huge strides forward as a big player in promoting Startups. This discussion comes at the back of the collapse of the start of focused lender SVB Financial Group.

The Reserve Bank of India said that in the wake of Silicon Valley Bank’s (SVB) collapse, availability of global funds for Indian startups may take a pause in the short run. However, the impact of the bank’s collapse appears to be limited on the Indian startup ecosystem.

CT Bureau