Micro VCs are blooming in India, increased to 88 funds in 2020 from 29 in 2014: IVCA-AWS-Praxis

Micro VCs have infused $341 million in the Indian startup ecosystem in past 3 years according to a new report from IVCA and AWS along with Praxis Global Alliance. Micro VCs are firms with a fund size of below $ 30 million. As per the study, most of these firms typically invest in the sunrise sectors and over half (52%) are sector agnostic.

In the past decade, Micro VCs have emerged as promising players in the Indian startup investor landscape providing much needed risk capital as well as hands on mentorship to their portfolio companies, the report said. Micro VCs are blooming in India, have increased to 88 funds in 2020 from 29 in 2014. The increase in number is driven by India’s booming startup ecosystem, micro VCs’ ability to fill the funding gap between institutional and angel investors and increasing domestic LP interest in startups.

The full article was originally published on CNBC TV18