Funding Alert

VC funding for startups falls by 30% this year

• ByStartupStory     |    December 29, 2022

In 2022, VC (Venture Capital) funds for startups have fallen by 30%. It is compared to record highs in 2021, as turmoil in the technology sector has made investors nervous. This has created a significant backdrop in late-stage fundraising.

Indian new-age companies picked up $23.95 billion across all stages as of December 28 this year compared with $35.46 billion, according to data from Venture Intelligence.

With global central banks raising interest rates to combat inflation and tech stocks’ market capitalisations falling by 50- 60% year on year, funding for late and growth stage startups has slowed as private market investors have become more selective in their approach.

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