The Next Big Leap

The Next Big Leap | 21 [ OVERVIEW OF START-UP ECOSYSTEM IN INDIA ] KEY CHALLENGES The key challenges faced by start-up ecosystem in India are as given below. WAY AHEAD While investments in Indian start-ups may remain subdued in the short term, in the longer-term, investment outlook would turn positive on the back of strong economic fundamentals. The conducive policy support, growing economy, advancement in digital t echno l og i es , and f avou r ab l e demographi cs wi l l cont inue to drive investments in the start-ups, thereby supporting the growth of entrepreneurship in the country. With investors largely pivoting from “Growth at all costs” to “quality of business,” they will be more focused on product market fit for early-stage start-ups and profitability for larger start-ups. Indeed, this will ultimately lead to a more resilient ecosystem that can stand the test of time. Amongst sectors, immense opportunities will emerge for start-ups in the sunrise sectors like green energy, health tech, deep tech, and cleanmobility. Besides these, SaaS and Fintechwill continue to garner attention of investors as cross- border Unified Payments Interface, cross-border commerce will open new avenues. Start-up investor base is also expected to further widen with the addition in Micro VCs, family offices, and global funds entering India. This will provide a significant boost to start-up activity, helping India emerge as a global start- up hub. Dun & Bradstreet