Cradle Fund Sdn. Bhd. (Cradle), the government agency for Malaysia’s startup ecosystem, and Invest India, an investment promotion and facilitation agency under the Government of India, have formed a strategic alliance to strengthen startup ecosystems in both nations.
The Ministry of Science, Technology and Innovation (MOSTI) said in a statement on last Friday that Cradle and Invest India have exchanged a Letter of Cooperation (LOC) to establish the India-Malaysia Startup Alliance (IMSA) through Startup India.
This strategic partnership aims to foster greater engagement and collaboration among technology-based startups in both nations, it said.
Startup India, a flagship initiative of Invest India, intends to catalyze startup culture and build a strong and inclusive ecosystem for innovation and entrepreneurship in India.
The initiative, established under the Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, Government of India, plays a crucial role in facilitating foreign investment into its country and promoting its economic growth, according to the statement.
“India and Malaysia have benefitted from the long-standing relationship built on mutual respect and shared prosperity,
“This alliance between Cradle and Invest India is a natural extension of our strong economic and commercial ties,” said Chang Lih Kang, Minister of MOSTI.
As Malaysia ranks among India’s top trading partners, he opined that this partnership will encourage local startups to venture into India’s 1.4 billion strong market and will also provide pathways for quality Indian startups to penetrate the ASEAN market through Malaysia.
“This is aligned with the Malaysia Startup Ecosystem Roadmap (SUPER) 2021-2030, and its aspiration to place Malaysia among the top 20 global startup ecosystems by 2030,” he added.
Norman Matthieu Vanhaecke, Group Chief Executive Officer of Cradle emphasized that this alliance between Cradle and Invest India, a first for both countries, not only strengthens their mutual commitment but also fosters a closer, more impactful, and sustainable cross-border tech entrepreneurial synergy and drives transformative growth in India and Malaysia’s startup ecosystem.
According to the statement, over the next year, IMSA will focus on enhancing mutual awareness of the development of startup ecosystems in Malaysia and India, emphasizing government interventions, industry collaboration, and university engagement.
Key initiatives under IMSA will include virtual capacity-building sessions, knowledge sharing events, and the facilitation of startup matchmaking programs.
These efforts will culminate in the participation of Malaysian and Indian delegations, as well as other
startup ecosystem players at major events such as the Startup Mahakumbh 2025 and the ASEAN-India Startup Festival 2025, to be held in Kuala Lumpur as part of the country’s
ASEAN Chairmanship.
The matchmaking programs are targeted to catalyze investment and commercial contract value close to MYR 100 million ($23.09 million) from potential venture capitalists and corporates between ASEAN and India.
Additionally, these programs will connect startups with relevant stakeholders to explore opportunities for market expansion, research and development, and deeper industry collaboration.
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