Indian startups have raised over $395 million in a single week, marking a substantial increase of approximately 350% from the previous week, according to The Statesman. The surge in funding is attributed to the government’s recent decision to remove the angel tax on foreign investors, as outlined in the Union Budget 2024-25.

In July alone, Indian startups garnered $1.03 billion through 126 deals. Among these, 28 were growth or late-stage investments totaling $725 million, while 72 early-stage deals amounted to $311 million. Leading the funding round was hospitality and travel-tech company Oyo, which secured nearly $175 million. Notable mentions include Ather Energy, which raised $71 million, pushing its valuation to $1.3 billion and earning the status of a “unicorn.”

The report highlights that the Indian government has implemented over 55 regulatory reforms since 2016 to improve the business environment, facilitate capital raising, and reduce compliance burdens for startups. To date, these startups have created over 1.55 million direct jobs.