India ranks 3rd in fintech funding globally in Jan-June period: Report

Despite the global funding slowdown, India's FinTech ecosystem shows agility and adaptability

July 5, 2024

Bengaluru emerges as the leader in total fintech funding raised in 2024

India’s fintech ecosystem achieved a significant milestone in the first half of this year by ranking among the top three funded globally, alongside the US and the UK, a report showed on Friday.

Bengaluru emerged as the leader in total fintech funding raised in 2024, followed by Mumbai and Pune, further solidifying the emergence of multiple fintech hubs across the country’s diverse startup ecosystem.

“Despite the global funding slowdown, India’s FinTech ecosystem shows agility and adaptability, supported by robust economic fundamentals,” said Neha Singh, Co-Founder at Tracxn.

The fintech sector remains dynamic, and “we are optimistic that a supportive policy environment and technological advancements will create new opportunities for growth and innovation in the near future,” she added.

The domestic fintech sector received funding of $795 million in the first half (H1) of 2024, a decline of 11 percent from H2 2023, according to the report by Tracxn, a leading market intelligence platform.

Perfios was the only unicorn created in 2024, while the fintech sector saw six acquisitions and five IPOs in the January-June period.

Late-stage funding in H1 2024 stood at $551 million, a 26 percent increase from $436 million in H2 2023.

Seed-stage funding amounted to $65 million, a 7.4 percent rise from $60.5 million in H2 2023, said the report.

Peak XV Partners, Y Combinator, and LetsVenture emerged as the leading investors in the sector.

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