The Decline in Startup Funding: A Detailed Analysis

In May 2024, Indian startup funding fell 34% YoY and 24% MoM to $657 million, the lowest since 2020. Deal count rose by 11% MoM and 25% YoY to 100 deals. Seed stage investments were stable at $107 million across 50 deals. Growth and late stage investments dropped 30% and 45% YoY, respectively. Enterprise tech led with $139 million, followed by fintech at $123 million. Real estate tech rose to third place with $63 million. Delhi NCR became the highest-funded hub, overtaking Bengaluru.

May 2024 marked a significant downturn for Indian startups in terms of funding, with a notable decrease compared to previous months and years. Here's a closer look at the trends and shifts observed in the startup ecosystem.