In the first half of 2024, Indian tech startups secured $4.1 billion in capital, a 4% increase from the $3.96 billion raised in H2 2023. However, investors placed $4.8 billion in H1 2023.
India ranked 4th globally for the total amount invested but funded more companies (540) than China (327). Out of these, 168 were first-time fundings in India, while China had 159. China raised $6.2 million during H1 2024.
In H1 2024, Investors participated in eight significant funding rounds of over $100 million. Notable Funding Rounds included:
- Flipkart’s $350 million
- Apollo 24|7’s $297 million
- Meesho’s $275 million
Stage-Specific Funding Highlights:
- Seed-Stage: Increased to $455 million
- Up 6.5% from H2 2023 but less than 17.3% from H1 2023
- Early-Stage: Steady at $1.3 billion
- Consistent with H2 2023 but 28% less than H1 2023
- Late-Stage: Rose to $2.4 billion
- 3.8% increase from H2 2023, but 1.3% less than from H1 2023
The top sectors in H1 2024 were retail, enterprise applications, and fintech:
- Retail funding increased by 32% to $1.63 billion.
- Enterprise applications raised $933 million, down 10% from H1 2023.
- Fintech funding was $726 million, down 50% from H1 2023
In H1 2024, three new unicorns emerged, and 33 companies joined as unicorns. The number of IPOs increased to 17, from six in H1 2023 to 12 in H2 2023.
| Stage | Top Investors in H1 2024 |
| Overall | Accel, Blume Ventures, and Peak XV Partners (formerly Sequoia Capital India & SEA) |
| Seed Stage | Venture Catalysts, Z Nation Lab, and WeFounderCircle |
| Early Stage | Peak XV Partners, Alpha Wave Global, and Saama Capital |
| Late Stage | DST Global, Epiq Capital, and UC-RNT Fund |
Bengaluru raised the most funds, followed by Delhi and Mumbai.
Indian tech startups began to recover after two tough years in the first half of 2024. Although funding has yet to return to previous levels, the ecosystem has grown. Even though funding is lower than before, there’s still growth in important business sectors.
Neha Singh, co-founder of Tracxn, best summed up the trend: “India’s robust performance as the fourth-highest-funded country in the tech startup ecosystem is encouraging. From emerging developments in retail and enterprise applications to pioneering advancements in financial technology (fintech), Indian startups are transforming industries and driving economic growth.
