The wave of rising valuations for India’s technology startups is here to stay as the country offers a great opportunity in terms of growth, according to the founder of the Indian online payments pioneer who raised funds in the country’s largest ever initial public offering. .
Paytm founder and CEO Vijay Shekhar Sharma raised $2.5 billion in an IPO this week, saying Indian startups are undervalued and “many are underestimating India’s opportunity.” Speaking at the Bloomberg India Economic Forum, he said, “If we look at any event that happened in other parts of the world including the US, China or Indonesia, India is an opportunity that will dwarf the startup or technology ecosystem of many other countries.” ” Thursday.
According to researcher Traxon, lured by the opportunity, investors have invested $7.6 billion in Indian fintech companies, nearly four times the amount attracted by their Chinese counterparts. Digital startups in other sectors including FSN E-commerce Ventures Ltd, the arm that operates Indian beauty startup Nykaa and food delivery app Zomato Ltd have also seen huge demand for shares.
An open-network is luring hundreds of people into the fintech space in India, including Alphabet Inc. of Google, Walmart’s PhonePe and Amazon.com Inc., which have led to a worldwide boom in digital payments. Digital payments have grown five-fold over the past five years and are projected to reach $2.2 trillion by March 2023, while digital lending is seen to triple to $350 billion. Such sizable growth of the Indian fintech industry threatens regulatory condemnation.
Vani Kola, founder of the early stage venture capital firm, said, providing clarity on rules, helping in easy exit of funds from start-ups, creating a local pool of capital from investors and avoiding retroactive taxation against the influx of funds. The doors will open. Kalari Capital at the event.
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