December 12, 2023
1 min read

India Slips to Fourth Global Ranking in Startup Funding for 2023

The last quarter (Q4) this year recorded the lowest funding of $957 million to date, marking it the lowest-funded quarter since Q3 2016…reports Asian Lite News

Making a dent in India’s startup growth story, the country slipped to fourth position in the global ranking among the highest-funded geographies in 2023, as it recorded lowest funding in five years.

After grabbing the third spot globally in 2021 as well as in 2022, India ranked fourth behind the US, the UK and China this year, receiving only $7 billion in total funding (till December 5), according to data compiled by global market intelligence platform Tracxn.

In the third quarter (Q3) this year, India even slipped to fifth position among the highest-funded countries — behind the US, the UK, China and France.

Q3 2023 raised a total of $1.5 billion, which is a 30 per cent drop from Q2 2023 and a 54 per cent drop as compared to Q3 2022.

The last quarter (Q4) this year recorded the lowest funding of $957 million to date, marking it the lowest-funded quarter since Q3 2016.

“India continues to experience the effects of the funding winter. Following an increase in funding in Q4 2022, India Tech is seeing a decline in funding every quarter, with a third consecutive drop in funding in Q3 2023 making it the least funded quarter in 2023 and also the least funded quarter in the last 5 years,” the report showed.

Despite the declining funding inflow, India has maintained its position in top 5 geographies in terms of total funding this year.

For 2023, the funding declined across all stages, with late-stage funding dropping over 73 per cent, followed by early-stage funding (70 per cent) and seed-stage funding (60 per cent).

The decline is primarily due to the biggest drop in late-stage funding, by over 73 per cent to $4.2 billion in 2023 from $15.6 billion in 2022.

The number of $100 million+ rounds recorded were only 17, dropping by 69 per cent compared to last year, said the report.

ALSO READ-Digital Public Infrastructure Fuels Decade of Startup Growth in India

Previous Story

A Weekend Movie Marathon

Next Story

Commonwealth Raises $320M in Climate Finance

Latest from India News

Modi Lands in Malé for Big Day

PM Modi is visiting the Maldives at the invitation of President Muizzu to participate as the Guest of Honour at the country’s 60th Independence Day celebrations…reports Asian Lite News Prime Minister Narendra

Industry Hails India-UK FTA

£34 billion boost, sweeping tariff cuts and market access mark UK’s most ambitious post-Brexit trade pact; Indian sectors set for exports surge…reports Asian Lite News Business leaders from both India and the

India, UK Sign Landmark FTA

The pact is set to make imported goods like Scotch whisky, gin, luxury cars, cosmetics, and medical devices more affordable for Indian consumers….reports Asian Lite News In a landmark moment for India-UK

Farmers Win Big in India-UK FTA

There is a massive gain for rural India and exporters with zero duty on processed foods compared with up to 70 per cent earlier….reports Asian Lite News The India-UK Free Trade Agreement

Modi-Starmer Meet Ahead of FTA Signing

During the discussions, the two sides will also review the progress of the Comprehensive Strategic Partnership (CSP)…reports Asian Lite News Prime Minister Narendra Modi on Thursday called on Keir Starmer at the
Go toTop

Don't Miss

Digital Public Infrastructure Fuels Decade of Startup Growth in India

Neel Mehta, Director and Co-founder, Asteria Aerospace Ltd, said that

Layoff season at Indian startups?

In total, over 6,000 people have been shown the door