Chennai / New Delhi: Indian startups collectively raised approximately $13 billion in 2025, marking a year-on-year decline of about 10 % from the $14.4 billion secured in 2024, as per the data of TheKredible.
While the total funding remained higher than 2023’s $11.3 billion, 2025 saw slower capital deployment and fewer blockbuster rounds, reflecting tightened investor sentiment amid global economic headwinds. Funding crossed the $1 billion mark in only a handful of months, with January and October among the few high-raise periods.
Major deals and sector leadership:
Zepto led funding rounds with a $450 million investment, followed by deals for Impetus Technologies ($350 m) and Innovaccer ($275 m), underlining continued interest in quick commerce, enterprise SaaS and healthtech.
Fintech remained the largest sector by funding share at nearly $2.89 billion, while e-commerce attracted around $1.88 billion, driven by late-stage growth capital.
Bengaluru continued as the dominant startup funding hub, accounting for roughly 46 % of total deal value, followed by Delhi-NCR and Mumbai. This distribution highlights the deep entrenchment of tech ecosystems across multiple urban nodes.
The funding slowdown was accompanied by business pressures — 24 startups cut around 3,800 jobs during the year, particularly in consumer internet, gaming, and AI-led ventures. Additionally, 28 companies shut operations in 2025, a sharp rise from prior years, pointing to survival strains in a more selective capital environment.
Despite the softer funding climate, the IPO pipeline and M&A activity provided some respite. Large transactions included HUL’s acquisition of Minimalist for $350 m and Everstone’s $200 m acquisition of data analytics firm Wingify, indicating continued strategic exits and consolidation in mature segments.