India’s private equity (PE) and venture capital (VC) landscape reached a remarkable milestone in 2025, with total investments soaring to $26 billion during the first nine months of the year — the highest in three years. This figure surpassed the combined totals of 2023 and 2024, reflecting a clear resurgence in investor confidence in India’s economic trajectory.
According to Equirus Capital, this upward momentum was supported by multiple macroeconomic tailwinds — including strong agricultural output, a favorable monsoon season, and an upswing in consumer spending during India’s festive months. The period from January to September 2025 saw 1,363 transactions, up from 1,170 deals in all of 2024. The average deal size climbed to $36.6 million, compared with $34.4 million a year earlier, highlighting both volume and value growth across sectors.
A significant trend in 2025 was the rise in mid-sized strategic transactions valued between $10 million and $25 million, which made up nearly 31% of total deals. This pattern suggests investors’ growing appetite for scalable, sustainable businesses positioned for long-term expansion.
The technology and consumer staples sectors dominated investment activity, accounting for 35% and 13%, respectively, of total deal value. The surge in digital infrastructure, export-oriented software services, and AI-driven innovations has played a pivotal role in drawing investor attention. Meanwhile, the consumer segment benefited from robust festival demand and rising disposable incomes.
Although exit activity softened slightly to $11 billion, the market remained strong, with block trades and secondary sales continuing to reflect the maturity and liquidity of India’s financial ecosystem.
Over the past decade, India has recorded more than 13,000 PE-VC deals worth $275 billion, underscoring its rise as one of the world’s most dynamic investment hubs. Analysts note that this sustained inflow of global capital not only validates India’s long-term growth story but also positions the nation as a key driver of innovation, entrepreneurship, and economic transformation in the Asia-Pacific region.
