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Indian startups thaw out: Funding expected to rise in 2024

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Indian startups thaw out: Funding expected to rise in 2024

Indian startups are expected to experience a boost in funding this year, with estimates ranging from $8 billion to $12 billion. The drought in funding is expected to be reversed as investors become more active again. The funding landscape has seen an increase in January and February, and if the trends continue, early-stage funding could surpass the levels seen in 2023. However, experts advise caution and predict a more muted environment compared to pre-pandemic years. Sectors such as B2C eCommerce, SaaS, AI and data analytics, fintech, and InsurTech are expected to attract significant funding, while Direct-to-Consumer (D2C) brands and edtech may see less funding. Investors will scrutinize startups with high burn rates and focus on sustainable businesses and potential IPO/exit routes.

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