According to a report released on Wednesday (June 25), India raised $4.8 billion in the first half of this year (H1 2025), propelling it to third place globally in global tech startup fundraising.

According to Tracxn, a market intelligence platform, India placed third internationally in tech startup funding despite the year-over-year downturn, surpassing Germany and Israel but falling short of the US and the UK.

“While the funding volumes have come down compared to the previous year, India's tech ecosystem continues to show resilience and maturity. Strong interest in sectors like transportation, retail, and enterprise tech signals investor conviction in solving large, structural challenges,” said Neha Singh, co-founder, Tracxn.

Bengaluru emerged as the leader in total funds raised during this period, accounting for 26 per cent of the overall funding, followed by Delhi at 25 per cent.

“We are also seeing quality IPOs and landmark acquisitions, which reflect the ecosystem's ability to create long-term value,” Singh mentioned.

H1 2025 witnessed five funding rounds exceeding $100 million. Some of those who raised these large rounds included Erisha E Mobility's $1.0 billion Series D round, GreenLine's $275 million Series A round, and Infra. Market's $222 million Series F round.

Other companies that secured major funding included Spinny and Darwinbox. A major part of these $100 million and above funding rounds were from Transportation and Logistics Tech, Retail and Real Estate and Construction Tech verticals, the report mentioned.

The Transportation and Logistics Tech sector saw a strong recovery, raising $1.6 billion, a 104 per cent increase from $799.3 million in H2 2024.

The retail sector also showed signs of an uptick, securing $1.2 billion in funding. The Enterprise Applications sector secured $1.1 billion in funding.

There were 12 startups that went public in H1 2025, as compared to 21 in H1 2024. Acquisitions in the Indian startup ecosystem saw a significant rise, with 73 acquisitions in H1 2025, compared to 54 acquisitions in H1 2024.

Among venture capital firms, Accel (US) led the most number of investments, with 30 investment rounds, while Blume Ventures (India) added seven new companies to its portfolio during this period.