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flag India's new business registrations surged 37% in February 2026, driven by reforms and strong entrepreneur confidence.

flag New company registrations in India jumped 37% year-on-year in February 2026, reaching 24,136—the second-highest monthly total this fiscal year—driven by strong business confidence and government reforms like Startup India. flag The services sector, particularly IT, consulting, and AI-focused firms, led the surge, with nearly 250 new AI companies forming monthly. flag Most new businesses were small private limited firms with average paid-up capital of ₹600,000, indicating grassroots entrepreneurship. flag Digital initiatives also boosted formalization in wholesale and retail trade. flag Experts credit the trend to favorable policies, tax incentives, and simplified compliance, though long-term growth depends on addressing access to credit and regulatory challenges.

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