VC funds focused on Southeast Asia and India have raised $3.1 billion so far in 2022. (Source photos by AP/Reuters/Ken Kobayashi)

VCs raise record funds for Southeast Asia, India as money leaves China

Beijing's regulatory crackdown on tech has prompted startup investors to diversify

WATARU SUZUKI, Nikkei staff writer

May 30, 2022 06:00 JST

TOKYO -- Venture capital firms that back startups in Southeast Asia and India are raising record sums for new funds as investors shift from China.

Southeast Asia- and India-focused VC funds have raised $3.1 billion so far in 2022, already nearing the $3.5 billion they raised in all of last year, according to data from research company Preqin. In comparison, fundraising by China-focused VCs fell sharply from $27.2 billion in 2021 to just $2.1 billion.