Venture capital investments fell sharply in July and August as investors continue to pull back in an unfavourable macro environment.

According to data from Venture Intelligence, while July recorded just 69 VC deals worth $0.8 billion (bn), startups clocked $0.9 bn in 85 deals done in August. The funding in the last two months has been down significantly compared to June 2022 which recorded investments to the tune of $2.6 bn in 109 deals.

Year on year, VC funding has fallen to a fourth in August 2022. In the eight months of 2022, Indian startups raised $19.9 bn in VC funding, about seven percent lower than the $21.3 bn raised in the first eight months of 2021.