Investors abandoned Indian startups
The pandemic has resulted in Indian startups losing investors in the year 2020. There are only a few investors who are willing to fund Indian startups. It is assumed that the pace of funding would probably increase in December.
Covid-19 has caused numerous masqueraders from mercilessly killing people to degrading the economy. The pandemic can also be blamed for many investors withdrawing their hands from funding Indian startups. The stagflation has stripped Indian startups from foreign investors. The numbers dropped from 71 last 2019 to 24 this year as analyzed by data Venture Intelligence, a data aggregator from for the private sector.
The US investors are leading in the current year whereas there is a degradation in the number of Chinese investors in the current year. The investors from Korea, Germany, Hong Kong, and Switzerland which supported several startups last year, abandoned them this year. But this is not the end. The startup faced every obstacle that stood in their path to success. Nevertheless, the storm is presumed to end soon. After facing the crisis, it is believed that the pace of funding would increase in December. The funding is expected in the fields of gaming, agritech, health, and fitness.
Foreign investors are keeping a hawk-eye on internet users in the country who were compelled to go digital and adopt everything from e-commerce to digital payments. The repercussion of Covid made investors skeptical. In an attempt to analyze as to what path this pandemic would lead the economy and market into the year went out in a blow.
But gradually things are settling and people are getting a clear picture of what impact Covid had on various sub-sectors. Investors have begun to take interest in Indian startups. With the introduction of edtech and e-commerce, learning and shopping have become a part of the business and are attracting many innovative ideas as startups. It is believed that e-business would be captivating many investors soon. Like a prodigal son, the investors would return to the Indian market.