Fund Startups Seriously – Kashmir Observer

Dal Lake looked like an unlikely place to talk venture capital this week, but the ASCEND J&K Startup Ecosystem Summit sent a message worth hearing. 

Kashmir’s young entrepreneurs bring ideas, ambition and growing public support to the table. What they still struggle to find is capital, mentorship and access to real markets. 

That disparity will decide whether the valley ends up building successful companies or just keeps hosting inspiring conferences.

Jammu and Kashmir has started laying the groundwork. The Startup Policy 2024-27 aims to support 2,000 startups by 2027 through seed funding, incubation, mentorship and easier access to finance. Public institutions have also expanded innovation centres inside universities and technical colleges. 

These steps mark a welcome shift, moving young people away from seeing government jobs as the only real career path and toward enterprise and private investment instead.

Economic conditions make this opportunity even stronger. 

Jammu and Kashmir’s economy has grown to roughly ₹2.6 lakh crore, with exports touching close to $230 million. Tourism keeps drawing visitors in record numbers, horticulture remains a powerful economic engine, and handicrafts still command strong demand abroad. Better highways and stronger digital connectivity have opened up bigger markets for businesses that once served only local customers. 

All of this creates fertile ground for technology, logistics, food processing and digital services to grow.

Money tells a different story, though.

Private venture capital stays concentrated in Bengaluru, Delhi and Mumbai, where investors find mature networks of founders, mentors and established firms already in place. Kashmir barely shows up on that investment map. 

Many entrepreneurs end up relying on government grants or bank loans once they have used up their personal savings and family support. Grants can help founders build a prototype, but scaling a company takes patient private capital, experienced advisers and customers ready to test something new.

Research into successful startup ecosystems points to the same lesson. 

Silicon Valley, Israel and Bengaluru grew strong because universities, investors, skilled workers and established companies strengthened each other over many years. Annual events introduced entrepreneurs to investors, but it was sustained relationships that built lasting businesses. 

Capital followed confidence, and confidence grew through successful exits, repeat founders and expanding markets.

Kashmir faces another challenge that gets far less attention. 

Many talented graduates keep leaving the valley for bigger cities, where funding, professional networks and experienced mentors already exist. That movement drains away future founders, along with engineers, designers and business leaders who could otherwise build companies closer to home. 

Strong startup ecosystems pull talent in because opportunity becomes visible through the success of real enterprises.

Public policy now stands at a decisive moment. The government can keep organising summits and hope investors eventually discover Kashmir, or it can actively build the conditions that make investment inevitable. 

Tax incentives for venture funds, partnerships with national incubators, procurement programmes for local startups and stronger links with university research would do far more to build investor confidence than ceremonial gatherings ever could.

ASCEND generated optimism, connections and headlines. Kashmir’s next chapter depends on companies that survive five years, attract private investment, file patents, expand into national markets and create skilled jobs. 

Conferences spark conversation, but successful businesses transform economies.