AUGUSTASIA BUSINESS OUTLOOK8NEWSROOMGOVERNMENT OF INDIA'S STARTUP INITIATIVE RECORDS 3,085 OPERATING FINTECH STARTUPSWith 3,085 recognized startups operating under the government's Startup India initiative, India's financial technology (fintech) sector is thriving. The Department for Promotion of Industry and Internal Trade has helped these startups grow by providing various incentives. Since the inception of Startup India in 2016, the government has recognized a total of 98,119 entities as startups. Startups must meet specific criteria such as incorporation date, revenue and profit benchmarks, and employee count to be eligible for recognition.Recognized startups are eligible for government fiscal and non-financial incentives. The International Financial Services Centres Authority (IFSCA) has put measures in place to help the fintech sector, including creating a dedicated 'Fin-Tech Entity Framework' to address the needs of fintechs and techfins. Furthermore, the IFSCA has introduced a fintech and startup incentive scheme that includes grants such as startup grants, sandbox grants, proof-of-concept grants, green fintech grants, listing grants, and accelerator grants.The Indian government has implemented the Pradhan Mantri Jan Dhan Yojana (PMJDY), a programme aimed at increasing financial inclusion by facilitating access to bank accounts and financial services, in order to attract investment in the fintech sector. This initiative has provided opportunities for fintech startups to develop technological solutions to cater to India's large consumer base. SHANGHAI STOCK EXCHANGE INFORMS BANKERS TO BE ATTENTIVE WITH REGARDS TO IPOS OF PHARMACEUTICAL COMPANIESIn accordance with sources, the Shanghai Stock Exchange has urged bankers to pay close attention to the marketing practises of Chinese drug and medical equipment makers seeking initial public offerings (IPOs).According to an internal publication sent to bankers in late July and reviewed, the exchange asked investment bankers and lawyers to ensure drugmakers' compliance and legitimacy in sales and marketing activities.Two banking sources familiar with the situation confirmed the report. The Shanghai exchange did not respond to requests for comment. The advice comes as China launched an anti-graft campaign in late July, aimed at the practise of salespeople bribing doctors in drug and medical equipment sales.As a result of the increased crackdown, a growing number of healthcare companies are abandoning their IPO plans, and listed medical firms' shares have fallen in the last two weeks.Bankers should carefully investigate whether the company, controlling shareholders, or actual controllers engage in bribery in marketing activities, according to the publication."Sales and marketing fees are complicated, and there could be hidden expenses," the bourse said.The bourse also requested that bankers verify the legitimacy of marketing expenses and urged companies to fully disclose information in their prospectus.
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