The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi, yesterday has approved the Widening of National Highway-167 from Gudebellur to Mahabubnagar on the Hyderabad-Panaji Economic Corridor to 4-Lane Standard in Telangana with a Total Project Length of 80.01 km and Total Capital Cost of Rs.3175.08 crore on Hybrid Annuity Mode (HAM) under NH (O) scheme.

Currently, connectivity between Gudebellur to Mahabubnaagr on existing National Highway NH-167 experience significant travel time delay due to very poor geometry and traffic congestion at town area, passing through highly urbanized towns/villages i.e Gudebellur, Magnoor, Makthal, Marikal, Devarkadra, Jaklair, Yeligandla, and Banderpally. To address these challenges, the project is proposed to be developed as 4 lane standard. The project will provide significant benefit to Narayanpet & Mahabubnagar districts in the state of Telangana. This will enhance the efficiency of freight movement, reducing logistics cost and driving socio-economic growth in the region.

The project alignment integrates with 2 major National Highways (NH-150 & NH-167N) providing seamless connectivity to key economic, social, and logistics nodes across Telangana. Additionally, the upgraded corridor will enhance multi-modal integration and seamless connectivity by provide connectivity to three PM GatiShakti Economic Nodes, nine Social Nodes and seven Logistic Nodes thereby facilitating faster movement of goods and passengers across the region.

Upon completion, the NH-167 upgradation work will play a pivotal role in regional economic growth, strengthening connectivity between major religious and economic centers and opening new avenues for trade and industrial development. The proposed access-controlled 4-lane project with the length of 80.01 km will thus generate close to 14.4 lakh person-days of direct employment and 17.9 lakh person-days of indirect employment. The project will also induce additional employment opportunities due to increase in economic activity in the vicinity of the proposed corridors.

Appendix - I: Project Details

Feature

Details

Project Name

Widening of National Highway-167 from Gudebellur to Mahabubnagar on the Hyderabad-Panaji Economic Corridor to 4-Lane Standard in the State of Telangana with a Total Project Length of 80.01 km and Total Capital Cost of Rs.3175.08 crore on Hybrid Annuity Mode (HAM) under NH (O) scheme

Corridor

Gudebellur – Mahabubnagar section of Hyderabad – Panaji Economic Corridor

Length (km)

80.01 (including bypass & realignments over 36.8 km)

Total Civil Cost including Utility Shifting (Rs Cr.)

1868.90

Cost of Pre-construction Activities (LA Cost + Other Cost)

459.11

Total Capital Cost (Rs Cr.)

3175.08

Mode

Hybrid Annuity Mode (HAM)

Major Roads Connected

National Highways – NH-150 & NH-167N

Economic / Social / Transport Nodes Connected

Economic Nodes:

NICDC : Hyderabad – Bangalore NICDC

Pharma & Medical cluster- Hyderabad

SEZs in Hyderabad

Social Nodes:

Aspiration district – Raichur, Many tourist & Religious places

Logistic Nodes:

Airport -1 No. (Hyderabad)

Railway stations:4 Nos.

MMLPs : 2 Nos.

Major Cities / Towns Connected

Mahabubnagar, Narayanpet, Raichur, Devarkadra, Makthal & Hyderabad etc.,

Employment Generation Potential

14.4 lakh person-days of direct employment and 17.9 lakh person-days of indirect employment

Annual Average Daily Traffic (AADT) in FY-24-25

Estimated at 17,991 Passenger Car Units (PCU)

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Cabinet approves Startup India Fund of Funds 2.0 to Mobilize Venture Capital for India’s Startup Ecosystem
February 14, 2026
Rs. 10,000 crore corpus to support deep tech, tech-driven innovative manufacturing startups, and early-growth stage startups

In a major boost to India’s growing startup ecosystem, the Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, has approved the establishment of the Startup India Fund of Funds 2.0 (Startup India FoF 2.0) with a total corpus of Rs. 10,000 crore for the purpose of mobilizing venture capital for the startup ecosystem of the country.

The Scheme is designed to accelerate the next phase of India’s startup journey by mobilising long-term domestic capital, strengthening the venture capital ecosystem, and supporting innovation-led entrepreneurship across the country.

Launched under the Startup India initiative, Startup India FoF 2.0 builds on nearly a decade of sustained efforts to make India one of the world’s leading startup nations. Since the launch of Startup India in 2016, India’s startup ecosystem has witnessed an extraordinary transformation growing from fewer than 500 startups to over 2 lakh Department for Promotion of Industry and Internal Trade (DPIIT)-recognised startups today, with 2025 marking the highest ever annual startup registrations.

Building on Fund of Funds for Startups 1.0

The Startup India FoF 2.0 follows the strong performance of the Fund of Funds for Startups (FFS 1.0), which was launched in 2016 to address funding gaps and catalyse the domestic venture capital market for startups.

Under FFS 1.0, the entire corpus of Rs. 10,000 crore has been committed to 145 Alternative Investment Funds (AIFs). Such supported AIFs have invested over Rs. 25,500 crore in more than 1,370 startups across the country in sectors such as agriculture, artificial intelligence, robotics, automotive, clean tech, consumer goods & services, e-commerce, education, fintech, food & beverages, healthcare, manufacturing, space tech, and biotechnology amongst others.

FFS 1.0 played a pivotal role in nurturing first-time founders, crowding in private capital, and helping build a strong foundation for India’s venture capital ecosystem.

Key Features of the Scheme:

While the first phase built the ecosystem, Startup India FoF 2.0 is designed to take Indian innovation to the next level. The new fund will have a targeted, segmented funding approach to support:

  1. Deep tech and tech-driven innovative manufacturing: Prioritizing breakthroughs in high-tech areas that require patient, long-term capital.
  2. Empowering early-growth stage founders: Providing a safety net for new and innovative ideas, reducing early-stage failures caused by lack of funding.
  3. National reach: Encouraging investment beyond major metros so that, the innovation thrives in every corner of the country.
  4. Designed to address high‑risk capital gaps: Directing greater capital to priority areas which are important for self-reliance and boosting economic growth.
  5. Strengthen India’s domestic venture capital base, particularly smaller funds to further boost the domestic investment landscape.

Startup India FoF 2.0 is expected to play a pivotal role in shaping India’s economic trajectory, leading to transformational impact.

Startup India Fund of Funds 2.0 is expected to play a critical role in advancing India’s innovation-led growth agenda. By supporting startups that build globally competitive technologies, products, and solutions, the Fund will contribute to strengthening India’s economic resilience, boosting manufacturing capabilities, generating high-quality jobs, and positioning India as a global innovation hub.

Aligned with the national vision of Viksit Bharat @ 2047, the Fund represents the Government’s continued commitment to empowering entrepreneurs, fostering innovation, and unlocking the full potential of India’s startup ecosystem.