India Surpasses China in IPO Numbers

Indian startups are increasingly opting for Initial Public Offerings (IPOs), with some Indian exchanges surpassing their Chinese counterparts in terms of IPO numbers. According to a report by EY (Ernst & Young), in 2023, Mumbai's two stock exchanges, the National Stock Exchange and the Bombay Stock Exchange, witnessed a 45% year-on-year rise with a total of 209 IPOs.

This stands in contrast to the decline in IPOs in China, with Shenzhen experiencing a 33% decrease to 126 IPOs, Shanghai witnessing a 36% decrease to 99 IPOs, and Hong Kong seeing a 19% decrease to 61 IPOs.

"India has shown signs of growth in recent years, thanks to its young population and the confidence people have in its potential," says Ringo Choi from EY. "Compared to a decade ago, India's infrastructure has matured and significantly improved. I believe the India IPO market will continue to climb higher."

Driving the Indian IPO markets are small-cap companies. While India's Sensex stock index has risen by 10.3% this year, China's CSI300 has fallen by 10.4%, and Hong Kong's Hang Seng is down by 16.5%.

With the positive trend in IPOs and the growth of the Indian startup ecosystem, it is evident that Indian entrepreneurs are increasingly looking to tap into the public markets to raise capital and expand their businesses. The rise in IPO numbers reflects the confidence investors have in the Indian market and its potential for growth.