Despite fall of Silicon Valley Bank, Indian startups raise $791 Mn in a week

The just concluded week – March 13-18—marked by the collapse of the US based Silicon Valley Bank, has been a blockbuster one for the Indian startups which raised $791 million across 22 deals. According to Inc42, the sum is almost 344 per cent more than $178 million raised between March 6 and 11 across 18 deals. Lenskart, PhonePe, The Ayurveda Co, Gynoveda are among the startups that raised funds during this week.

Abu Dhabi Investment Authority (ADIA) invested $500 million in Lenskart promoted by Peyush Bansal. PhonePe raised $200 million from Walmart.

Interestingly, several experts had predicted that the fall of the Silicon Valley Bank, which has typically been supporting startups, including many in India, will have a cruel impact on the ecosystem.

Startups have been in focus for the Narendra Modi government. In 2016 Prime Minister Modi launched the Startup India Initiative. Speaking at the inaugural session of the Inception Meeting of the Startup 20 Engagement Group of the G20 in Hyderabad in January, Union Minister Piyush Goyal underlined that the world needs to join hands in supporting the startup ecosystem and facilitate incubation of startups across the globe. He said that the global startup ecosystem must be inclusive, supportive and sustainable to address global challenges.

According to Inc42, Indian startups raised Rs 25 billion in 2022 despite economic uncertainty — a 40 per cent decrease from the Rs 42 billion raised in 2021.

Also read: Collapse of Silicon Valley Bank will have limited impact on Indian startup ecosystem