VC fundraising slows as investors eye exit visibility, sharp strategies

FUNDRAISES BY LOCAL venture capital (VC) firms have slowed this year as limited partners (LPs) seek sharper investment strategies, disciplined deployment and greater visibility on exits.

- AYANTI BERA

India-focused VC firms have raised $2.8 billion so far in 2025, across 31 funds as of October 14. This is down from the $3.8 billion raised across 44 funds in 2024 and well below the 2022 peak of $8.6 billion across 103 funds, according to data from PitchBook.

Pankaj Jethwani, managing partner at W Health Ventures, a healthcare-focused fund, observes that increasingly, more LPs now look for funds with clear differentiation and depth. “This is especially true for India, where capital is now abundant but sectoral specialisation is still rare,” Jethwani said.