Investors are bullish on India as the economic growth rate is the fastest in the world. Private equity (PE) and venture capital (VC) funds invested $6.9 billion in May 2024 which is 54 per cent more on a year-on-year (YoY) basis, according to the EY-IVCA report.

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The report said that investment in real estate and infrastructure by PE/VC has increased by 67 per cent year-on-year to $2.5 billion in May 2024 from $1.5 billion in May 2023. This is 183 per cent more than April 2024.

The total number of deals has increased by 45 per cent year-on-year to 100 in May 2024, which was 69 in May 2023, the report stated.

Pure play PE/VC investment has increased by 47 per cent to $4.4 billion in May 2024, from $3 billion in May 2023.

The real estate sector was the top sector in May 2024 with investments of $2.5 billion. This was followed by the Financial Services sector which received an investment of $1.6 billion.

The infrastructure sector has been a favourite of PE/VC. In the last five years, 17 per cent of PE/VC investment has been in this sector. In terms of value, PE/VC has invested the most in the renewable energy sector, followed by roads and highways.

Growth investment deals by PE/VC investors have the highest deal type in May 2024. Their size was $2.5 billion, which was 36 per cent of the total investment. This was followed by buyout investment deals at $2.3 billion.