In an attempt to nurture the start-up ecosystem in the state, the MK Stalin-led Tamil Nadu government sanctioned Rs 7.5 crore to the start-ups led by the founders from scheduled caste (SC) and scheduled tribe (ST) communities. 

The government announced the sanction on Friday. It will provide the fund from the Tamil Nadu SC/ST Startup Fund of Tamil Nadu Startup and Innovation Mission (StartupTN). 

"This initiative is aimed at churning out inspirational stories that would spur the creation of more startups by SC/ST entrepreneurs in the march towards Inclusive mass entrepreneurship across demographics and sectors," s initiative is aimed at churning out inspirational stories that would spur the creation of more startups by SC/ST entrepreneurs in the march towards Inclusive mass entrepreneurship across demographics and sectors," the government said in a statement. 

In the state budget 2022-23, the Tamil Nadu government allocated Rs 30 crore for its equity and debt fund called the Tamil Nadu SC/ST Startup Fund. Since May 2022, the initiative has received 330 applications and has chosen five start-ups after shortlisting the applications. These start-ups were Unibose Technology, Pack N Back Solutions, Ywe Auto Assist India, Eco Soft Zolutions, and PEAS Automation Technologies. 

Unibose Technology bagged Rs 2.5 crore, supply-chain start-up Pack N Back Solutions raised Rs 2 crore, YWE Auto Assist India got Rs 1 crore, Eco Soft Zolutions raised Rs 1 crore and PES Automation Technologies bagged Rs 1 crore. 

Earlier, the state government announced special schemes to back green tech and women-led start-ups. The initiatives will invest in multiple start-ups from Tamil Nadu Start-Up Seed Grant Fund ( TANSEED).