- Technology sector attracts $6.50b, reflecting a remarkable year-on-year growth of 52.5%.
The venture capital (VC) funding landscape in India has witnessed a remarkable transformation, particularly highlighted by a staggering year-on-year increase of 69.7 per cent, leading to a total valuation of $883.2 million in January 2025.
The noteworthy ascent, as documented by GlobalData, is not merely a statistical anomaly; it underscores a burgeoning confidence among investors in the Indian startup ecosystem and suggests a broader trend of escalating financial engagement.
The surge in deal volume—from 93 in January 2024 to 131 in January 2025—reflects a 40.9 per cent increase. Such metrics illuminate the resilience and dynamism of Indian startups, which now account for 9.9 per cent of the total global VC deals announced during this period, with a corresponding value share of 3.6 per cent.
China experiences downfall
The robust growth trajectory, as articulated by Aurojyoti Bose, lead analyst at GlobalData, indicates that Indian startups are not only attracting a greater number of VC deals but are also securing more significant capital inflows. This outcome is emblematic of an enhanced investor confidence in the Indian market.
Furthermore, India’s standing remains formidable on the global stage, maintaining its position among the top five markets for VC funding activities in both value and volume.
Notable funding rounds in January 2025, including $121 million for Infra.Market and $109.4 million for Neuberg Diagnostics, underscore this trend.
Comparative insights reveal that while India thrives, major markets such as China experienced a downturn, with a 31.9 per cent decline in deal volume, revealing contrasting dynamics between the two nations.
Spanning from January to November 2024, India’s venture capital activity was marked by significant growth, totaling $16.77 billion across 888 deals—a 14.1 per cent increase in value and a 21.8 per cent rise in deal count compared to the same timeframe in 2023.
The technology sector emerged prominently in this landscape, attracting $6.50 billion, reflecting a remarkable year-on-year growth of 52.5 per cent.