The Indian startup ecosystem is currently being impacted by the capital crisis period, which we would call Recalibration. After seeing one of the best capital inflows of USD 40 billion in 2021, the industry went through a phase of consolidation in 2022, with investments declining to USD 25 billion.
But it’s important to remember that a comparable or even worse scenario existed at the height of the Covid-19 outbreak, and the resilient business models were uninjured at that time.
“We have discovered and invested in a couple of great businesses in 2021, which have turned out to be outperformers in our portfolio. This has led us to remain optimistic about our ecosystem and view this turbulence as a passing phase,” said Rohini Prakash, CEO, Tomorrow Capital.
