US move to delay 'startup' visas may ground flight of Indian entrepreneurs

 BT Online        Last Updated: July 12, 2017  | 15:08 IST
US move to delay 'startup' visas may ground flight of Indian entrepreneurs

The US government's latest move to delay the 'startup visa' programme until next March could impact Indian entrepreneurs. The Trump administration also said it plans to rescind the Obama-era program

The programme known as the International Entrepreneur Rule and favoured by many in the technology industry, would allow foreign entrepreneurs who launched companies that won $100,000 in government grants or received $250,000 in venture capital investment to stay in the US for a renewable 30-month term.

Finalized in January by the Obama administration, it was set to take effect July 17.

The step is the latest example of the Donald Trump administration to restrain immigration to the US despite objections from business groups.

According to a 2016 study by the National Foundation for American Policy (NFAP), a US-based non-profit nonpartisan public policy think tank, immigrants have become founders of more than half of US startups valued at $1 billion dollars or more, and are key members of either management or product development teams in more than 70% of these companies. Of these, people of Indian origin have founded almost 30 percent, reported The Economic Times.

The policy is "brain-dead" and a "lose-lose" for the US, Indian-American technology entrepreneur and academic Vivek Wadhwa told ET.

Wadhwa said bringing in entrepreneurs creates American jobs and expands the economy,

Commenting on the move, Wadhwa said countries such as India and the rest of the world could gain from this.

The Trump administration is pandering to anti-immigrant groups rather than focusing on US competitiveness and economic growth, said Wadhwa.

Co- founder of AOL Steve Case opposed the decision in a tweet.


and 14 Indian origin entrepreneurs have started billion dollar firms in the US valued at $19.6 billion, according to a NFAP study.

As per the NFAP study, 14 Indian-origin entrepreneurs have started billion dollar companies in the US which are collectively valued at $19.6 billion.

The Obama administration's aim was to keep high-calibre talent who visits US for studies but returns to their countries and start businesses that become huge successes.