Nithin Kamath says a lot of credit for Indian startups' success goes to 'investors outside India'

Nithin Kamath on Tuesday credited much of the success of homegrown startups to "investors outside India". The billionaire co-founder and CEO of the country's largest stock brokerage site said that wealth needs to be created locally for India to grow inclusively.

"I've said this earlier: for India to grow inclusively, wealth has to be created locally. Today, much of the success of homegrown startups goes to investors outside India. Staying in India and incorporating at home also saves the future hassle of paying huge taxes to flip back," Kamath wrote on X. "Also, the growing local pools of capital, ever-improving regulations, and the growth of IPO markets have made India a much more attractive destination than it ever was."

Nithin Kamath had last year joined the National Startup Advisory Council to advise the central government on measures needed to build a strong ecosystem for nurturing innovation and startups in the country. In December he had stated that India needs to unlock its domestic capital for startups. He added that he would work towards reducing the dependence on foreign capital and encourage Indians to back startups at home.

"More Indians today than ever before are aspiring to be entrepreneurs thanks to government initiatives and messaging, the media coverage of the startup ecosystem, founder success stories, and more," the Zerodha boss had stated. "The one thing we need to work on as a nation is to unlock domestic capital for startups/MSMEs. Reduce the dependence on foreign capital and get Indians to back Indian startups.

His brother and fellow Zerodha co-founder Nikhil Kamath too had voiced similar concerns. According to him, all indications point to India being 'the place' to be this decade, especially for investors and entrepreneurs.