VC investments jump 4 times to hit record $28.8 billion in 2021

Calendar year 2021 turned out to be the best one so far for venture capital (VC)/start-up investments both in value and volume terms. Such investments rose four times to $28.8 billion, compared with $7.3 billion in 2020, according to a report by IVCA-EY. The number of deals rose 37 per cent year-on-year (YoY) to 858, the highest ever.

In comparison, VC and start-up investments were hit hard in 2020, declining 38 per cent YoY. “VC funds became more risk averse and refrained from investing in start-ups, which traditionally have high cash burn rates. However, as the pandemic progressed, there