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Funding in climate-tech startups cools but VCs signal a greener future
Funding in India's climate-tech startups fell from $2.4 billion in 2022 to $1.5 billion in 2024, with capital needs, scale issues and slow adoption posing key challenges
Udisha Srivastav New Delhi
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As the world observes Environment Day on June 5 with fresh calls for climate action, India's climate-tech startup sector tells a different story — funding has plunged from $2.4 billion in 2022 to just $1.5 billion in 2024.
The overall startup funding amount, which stood at $5.01 billion (127 companies) in the first five months of 2024, reduced to $2.79 billion (60 companies) in the corresponding period this year.
While the slowdown can be partly attributed to the funding winter, venture capitalists (VCs) point out several challenges in the climate-tech ecosystem, ranging from a long gestation period to high capital
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