Hyderabad: The National Bank for Agriculture and Rural Development (NABARD) is set to launch a ₹1,000 crore second fund for start-ups through its investment subsidiary, Nabventures, marking a significant push to strengthen India’s rural and agri-start-up ecosystem.
Announcing the initiative, NABARD Chairman K V Shaji said the new Fund II will build on the success of the first fund, which is already fully invested across 19 companies. NABARD is expected to be the primary contributor to the second fund, providing around 40 per cent of the total investment. The fund is likely to be launched in the current financial year and will have a strong rural focus.
Alongside funding, NABARD is accelerating the digitalisation of its operations to help farmers, self-help groups (SHGs), and cooperatives leverage data-driven solutions. Under various central government programmes, nearly 70,000 primary credit societies have already been digitised, with data of about 12 crore members now available.
The bank is also strengthening cooperatives and working closely with nearly 95 lakh SHGs—most of them women-led—to promote micro-enterprises and job-led growth. Special emphasis is being laid on leveraging data from around 45 lakh borrowing SHGs to support enterprise creation, with a target of at least 50 per cent of new entrepreneurs being women.
NABARD is developing a comprehensive data warehouse and data lake to support solutions in climate-resilient agriculture, weather advisories, pesticide usage, and optimal fertiliser application at low or no cost to farmers. The institution is also collaborating with state governments and the Ministry of Rural Development under the National Rural Livelihood Mission to scale up enterprise development.
Through initiatives such as Sahakar Sarathi, NABARD is working with cooperatives on loan product development, aiming to increase the share of cooperatives in agricultural credit within the next two years.
The proposed ₹1,000 crore fund is expected to play a catalytic role in nurturing innovation, strengthening rural livelihoods, and accelerating sustainable development across India’s agrarian economy.
Author
Gagan Tripathi is an agripreneur, plant scientist, and author known for his work in agritech innovation and sustainable horticulture. He is the Co-founder and CEO of Plant Orbit, a horticulture-focused startup dedicated to making healthy, scientifically managed plants accessible to urban and institutional consumers. Born in 2000, Gagan holds a master’s degree in Agriculture Extension and Communication, blending agricultural science with entrepreneurship and community outreach. He is also the author of the bestseller “Roadmap to Your Healthy Succulents”. His work focuses on sustainable plant care, green entrepreneurship, and building impact-driven agri startups in India.
