During the months of January to July, Indian entrepreneurs received the second greatest amount of venture capital funding among APAC countries, according to GlobalData.
According to GlobalData, 828 venture capital fundraising agreements were announced in India between January and July 2021, with a total disclosed funding value of $16.9 billion.
According to a survey by data and analytics firm GlobalData, Indian startups were second only to Chinese counterparts in terms of VC funding value among Asia-Pacific (APAC) countries from January to July 2021.
Despite the third COVID-19 wave looming big and delayed economic recovery, venture capital investors have placed their faith in India’s startup sector.
According to data from GlobalData’s Financial Deals Database, 828 venture capital investment deals were announced in India between January and July 2021, with a total declared funding value of $16.9 billion.
“While some of the world’s top important markets saw a drop in VC financing value in July compared to the previous month, India managed to show growth despite a drop in VC funding deal volume,” says Aurojyoti Bose, Lead Analyst at GlobalData.
According to Bose, India has to become a digital-first economy as smartphone adoption has increased and mobile Internet has become more accessible.
As a result, tech entrepreneurs have benefited the most from this trend.
According to the GlobalData report, India boasts the world’s third-largest tech unicorn ecosystem, behind the United States and China.
“VC investors are showing interest in businesses spanning themes like as e-commerce, social media and social networking, food delivery, edtech, and digital payments during the COVID-19 epidemic.”
Flipkart raised $3.6 billion, Mohalla Tech (ShareChat) raised $502 million, Zomato raised roughly $500 million, and Think and Learn (Byju’s) raised $460 million in VC funding agreements announced in India between January and July 2021.
The tremendous increase in VC funding has resulted in a record number of firms in India becoming unicorns (those valued at more than $1 billion).
According to the most recent data, India added 25 unicorn firms in the first eight months of 2021, the most ever in a single calendar year, bringing the total number of unicorn startups in the country to 61.
This is significantly more than the National Association of Software and Services Companies (NASSCOM) prediction of 50 unicorns in India by 2021.
In the year 2020, the country saw over 1,600 tech startups and a record 12 unicorns emerge.
