Delhi Surpasses Bengaluru to Become India’s Top Startup Funding Hub in Q1 2025

New Delhi, India – March 28, 2025 – Delhi has overtaken Bengaluru as the leading city for startup funding in India, securing 40% of the total funding raised in the first quarter of 2025. This shift underscores the growing prominence of the capital in the country’s startup ecosystem, attracting increased investor confidence and venture capital interest.

India’s Startup Funding Trends in Q1 2025

India’s tech startups collectively raised $2.5 billion in the first quarter of 2025, marking a 13.64% increase compared to the previous quarter. This growth signals a positive outlook for the country’s startup ecosystem, despite global economic uncertainties.

Key Factors Driving Delhi’s Startup Boom

Several factors have contributed to Delhi’s rise as India’s top-funded startup hub:

• Robust Investment Ecosystem: Delhi’s proximity to policymakers, investors, and key industry players has fostered a thriving startup environment.
• Diverse Startup Portfolio: The city has witnessed growth in multiple sectors, including fintech, e-commerce, and mobility solutions.
• Increased Investor Confidence: Venture capital firms and angel investors are actively supporting Delhi-based startups, leading to larger funding rounds.

Notable Funding Rounds in Q1 2025

Some of the standout funding rounds that contributed to Delhi’s dominance include:

• Erisha E Mobility: Secured significant funding to expand its electric vehicle (EV) infrastructure and manufacturing capabilities.
• Flipkart: Received a fresh round of investment to strengthen its logistics and AI-driven e-commerce initiatives.

Bengaluru’s Position in the Startup Landscape

While Delhi led the funding charts, Bengaluru remains a critical player in India’s startup landscape, securing the second position in total funding received. The city continues to attract investments in deep-tech, SaaS, and AI-driven startups, maintaining its status as the country’s tech innovation hub.

Future Outlook for India’s Startup Ecosystem

With a steady increase in funding activity, the Indian startup ecosystem is expected to grow further in 2025. Emerging sectors such as AI, sustainability, and health tech are likely to gain traction, drawing more investments across the country.

Stay tuned for more updates on India’s evolving startup landscape and investment trends.

Reference: Information sourced from publicly available reports and company announcements.