India, Jan. 7 -- India's startup funding landscape remained under pressure in 2025, with total capital deployed declining 8% YoY to around $11 Bn, as per Inc42's Annual Indian Startup Trends Report, 2025. While the headline number is reflective of a market that is still recalibrating from the peak fund deployment during the 2021-22 cycle, the underlying story is more about a recalibration.

Amid this funding stability, investors continued to favour startups with clear paths to monetisation, repeat demand and disciplined capital deployment, resulting in fewer but more conviction-led bets. In this, fintech as a sector continued to be the preferred destination for capital deployment.

In 2025, fintech remained the largest magnet for startup ...