India’s funding winter continues as 2025 tech startup funding drops 17% to $10.5B

Marking continuing of funding winter in 2025, India’s tech startups raised a 17% decline in tech startup funding to $10.5 billion in 2025, down from $12.7 billion in 2024, and a 4% drop compared to $11B raised in 2023, according to the India Tech Annual Funding Report 2025 by Tracxn. However, despite the slowdown, India continued to rank as the third-highest funded tech ecosystem globally, behind only the US and the UK, and ahead of China and Germany.