Joining the semiconductor and ESDM sector manufacturing league, Bihar has announced a new IT/ITES and ESDM sector policy 2024.
Earlier this month, Chief Minister Nitish Kumar announced the Bihar IT Policy 2024. CM Nitish Kumar announced the IT/ITES and ESDM sector policy 2024 during a cabinet meeting.
Bihar aims to become a new hub for tech investments logging a prominent space in the eastern part of India.
The attractive IT/ITES and ESDM sector policy 2024 by Bihar is said to be quite investor-friendly wherein it aims to attract investors to set up IT/ITES and ESDM sector ecosystem across the state.
With this new IT/ITES and ESDM sector policy 2024, Bihar aims to become a tech manufacturing hub in Eastern India.
The policy attracts stakeholders and investors to establish a conducive environment for innovation hub, SEZs, grow technology infrastructure.
Asserted as an investor-friendly policy, Deputy CM Tejaswi Prasad Yadav has welcomed the policy stating that it focuses on generating employment for youth and create a tech ecosystem in Bihar.
The Bihar Department of Information Technology organized a press conference to announce the launch of Bihar IT Policy. The event saw the presence of Minister Md. Israil Mansuri, Departmental Secretary Abhay Kumar Singh, Special Secretary Arvind Kumar Choudhary, and other dignitaries. Discussions at the event covered various topics related to promoting investment and employment in Bihar according to a news piece by Patna Press.
Key Benefits of Biahr’s New IT/ITES and ESDM Sector Policy 2024:
- Capital Subsidy of 30% on Fixed Capital Investment up to INR 30 Cr or an alternative option of Interest Subsidy providing 10% interest subvention for 5 years up to INR 40 Cr.
2. Lease Rental Subsidy offering a 50% subsidy on lease rental amounts for 5 years for IT/ITeS/ESDM units operating from leased offices or commercial spaces.
3. Power Tariff Subsidy reimbursing 25% of the energy bill for 5 years, covering Fixed Charge, Energy Charge, and Electricity Duty for IT/ITeS/ESDM units.
4. Employment Generation Subsidy providing 100% reimbursement of employer’s contribution towards EPF and ESI up to INR 5000 per employee per month for 5 years.
5. Tailor-made Packages for mega units with an investment of over INR 100 crore or generating a minimum of 1000 direct IT employment.
The policy encompasses core IT/ITeS, ESDM, and ancillary industries, including Data Centre, AVGC, IT Platform, Big Data & Analytics, Smart Technologies, and Drone Manufacturing. It aims at inclusive development, offering an additional 5% incentive for specific categories such as SC/ST/BC/EBC/Women/Divyangjan/War Widow/Acid Attack Survivors/Third Gender Entrepreneurs. An additional 10% incentive is provided to IT/ITeS/ESDM Units established outside Patna and Danapur Municipal areas, promoting balanced regional development.
How Does Bihar Plans To Make The Policy Easy For Investors?
The Bihar Government is committed to streamlining regulatory processes. Specialized teams will facilitate quick and efficient approval of IT projects, ensuring a smooth and timely setup for investors.
While launching the new policy, IT Minister Mohammad Israil Mansuri mentioned, “The Bihar IT Policy 2024 is a testament to our commitment to fostering a conducive environment for the growth of the IT sector. We believe that by offering these incentives coupled with the availability of an extremely talented pool in Bihar, we can attract top-tier and cutting-edge technology companies, positioning Bihar as an upcoming preferred destination in the country’s IT landscape.” The state government encourages IT companies and investors to explore the opportunities presented by the new policy and looks forward to welcoming them to Bihar.
The IT/ITES and ESDM sector policy 2024 of Bihar is framed by the Department of Information Technology, Government of Bihar, in collaboration with industry experts and stakeholders, the Bihar IT Policy 2024 offers a comprehensive package of incentives. It aims to encourage both domestic and international investors to choose Bihar as their preferred destination for investments in IT/ITeS and ESDM sectors.
Earlier Uttar Pradesh Government has launched a solid framework on semiconductors by drawing an attractive semiconductor policy. The earlier states with a semiconductor policy are Gujarat, Odisha and Tamil Nadu which aims to create a solid semiconductor industry in their respective states.
