Global Venture Funding Drops 30% as China Helps Drag Market Down
Apr 10, 2024 - bloomberg.com
Global venture capital funding saw a 30% decrease in the first quarter, continuing its downward trend due to investor caution in the face of struggling economies and a slow market for stock-market debuts. China's 40% decrease significantly contributed to this decline, while the US experienced a 29% drop, as per data collected by research firm Preqin.
The overall worldwide capital collected by startups also reduced to $57.8 billion in the first three months. This slump in venture capital funding reflects the broader economic uncertainties and the cautious approach of investors in the current market scenario.
Key takeaways:
Global venture capital funding declined by 30% in the first quarter.
The decline is attributed to cautious investors amid struggling economies and a slow market for stock-market debuts.
China's 40% decrease in funding significantly impacted the market, while the US saw a 29% drop.
The overall worldwide funding for startups decreased to $57.8 billion in the first three months.
