In February 2025, venture capital (VC) funding for Indian startups dropped by 25% year-on-year, totaling $669 million across 100 deals, down from $890 million the previous year. This decline was attributed to a lack of large-value deals, with no funding exceeding $100 million. The fintech sector led with $143 million while other segments struggled, indicating challenges in raising capital. Major cities like Bengaluru, Delhi-NCR, and Mumbai dominated funding activity, highlighting a disparity across regions. Economic factors, including bearish stock markets and global trade tensions, contributed to this slowdown, although a recovery is hoped for in upcoming months.