Private equity and venture capital investments in the country surged 31 per cent to USD 5.6 billion in November, according to a report on Tuesday.
This has helped narrow the gap in overall deal activity, with total investments reaching USD 49.3 billion in the first 11 months of 2025, accounting for 88 per cent of the USD 56.2 billion deal value recorded in the previous year, it added.
The report by industry lobby group IVCA and consultancy firm EY said the deal values in November rose 4 per cent compared to USD 5.4 billion in October.
By number of deals, the transactions were flat at 101 year-on-year and slightly higher than 109 in October.
The deals are expected to close broadly in line with, or marginally below, last year's total, the firm's partner Vivek Soni said.
"Valuations continue to remain elevated, and the bid-ask spread between sellers and investors continues to be the main impediment to faster PE/VC deal closures. We remain cautiously optimistic and look forward to the US-India FTA, which could potentially help reset investor risk appetite," he added.
At USD 2.1 billion, buyout investments accounted for the largest share of PE/VC activity in November 2025, recording a 37 per cent rise year-on-year.
Startup investments ranked second at USD 1.7 billion, up 56 per cent, and growth investments came third by more than doubling to USD 811 million.
From a sector perspective, real estate led with USD 3.7 billion being deployed, followed by infrastructure with USD 531 million and financial services at USD 484 million, the report said, adding that the three sectors accounted for 84 per cent of overall PE/VC bets.
There were 23 exits worth USD 3.2 billion in the month compared to USD 3.7 billion in the year-ago period, it said, adding that exits through IPO were the highest at USD 1.5 billion in seven IPOs.
PE and VC platforms have raised USD 2.4 billion in new fundraising in November for future deployments against USD 1.1 billion a year ago and USD 1.8 billion in the preceding October.