Dave McClure of 500 startups is setting up 500 “Startup Wallah,” a $ 5 million fund to back Indian startups, according to a filing on the United Securities & Exchanges regulator.

Earlier this year, MccLure had announced his plans to increase his startup acclerator’s focus in India. He’d told NBW that 500startups will invest in at least 10-12 Indian startups this year.

500 Startups had hired Pankaj Jain, a Delhi based mentor to focus on Indian startups and community building in the country. So far, they have invested in over 10 Indian companies including Teliport.me, MyGola and CucumberTown (read: list of 500Startups’ Investment in India).

The startup accelerator has also partnered with Rajesh Sawhney’s GSF India Accelerator.

In the Fall 2012 batch, the McClure’s accelerator took in 4 Indian startups including TradeBriefs, WalletKit, gazeMetrix and Instamojo. Angel Investor Paul Singh who is a mentor at 500startups has been leading all of their India investments (Got questions? Ask Paul Singh anything on our forum.)

In the last 12 months, there has been a spike in the number of accelerators and incubators in India.

The country, slated to become a $3.6 trillion economy by 2020 has been attracting the attention of many, including high profile investors and mentors. Earlier this month, Valley based investor Chamath Palihapitia invested in Bangalore based technology incubator AngelPrime along with the Mayfield Fund.

Last month we reported that veteran Silicon Valley investor Vinod Khosla is about to start Khosla Labs, an incubator in India. Khosla has already made a key hire in the country and the lab is expected to start operations in 6 months.

Recommended resource: THE list of Accelerators and Incubators in India.