EdTech dominance in Venture Capital Investments in India
The first quarter of 2020 experienced a significant decrease in Venture Capital investments in India due to the prevailing global recession following the outbreak of Covid-19 and the disruption of economic activities.

Amongst other reasons, the decline experienced was a result of the reliance on investment from international Venture Capital investments firms and investors.

The uncertainty created by the recession led to potential investments being deferred to the latter half of the year. The practice of social distancing and isolation resulted in the closure of industries including education. This closure has provided an opportunity for emerging sectors such as EdTech to dominate. The industry’s ability to fill the gap created by the pandemic makes it a lucrative investment for venture capitalists hoping to avoid the consequences of the financial crisis.

Byju’s took the lead in the first quarter raising $400 million, with $200 million invested by Tiger Global. Byju and the rest of the start-ups in the sector are expected to continue dominating amidst the current recession, as distance learning is set to continue for the rest of the year in most parts of India.

EdTech dominance in Venture Capital Investments in India

This increase in educational funding primarily reflects the importance of education in India and the efforts to preserve the educational system through technology and innovation.




Covid-19 cements EdTech dominance in Venture Capital Investments in India

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