The Indian stock markets crashed on Tuesday following the general elections leading to a price crash  in the Indian startup ecosystem. The BSE Sensex dropped by 5.80% after the general election results  showed that the BJP had to depend on allies to form a government. But the stock market is now back  with a gain of 3 percent followed by the news of PM Narendra Modi’s return for a third term. 

Indian startups saw gains on Friday after the stock market gained a 3.36 percent increase. The BSE  Sensex increased and reached 76,795.31. The Sensex increased by 3.69 percent on Friday and closed  at 76,693.36 while Nifty increased by 3.37 percent. The losses faced in the stock market were almost  recovered in three trading sessions, at Rs 28 lakh crore. Delhivery, a platform that helps an individual  connect over services to track their package across India reported a loss of 6.26 percent last week  following the elections. This is the largest fully integrated logistic provider in India that offers top-class services to its clients and customers.  

The stock prices for all the Indian startups fell into the negative zone last week, they are said to be  recovering following this gain in the market on Friday. The future and impact of the Indian startup  ecosystem will again change following the new government. Many Indian startups got accessto various  government policies to help startups and went unicorn this year. Awis is one of those startups that  went public this year and recorded a gain in the stock market.  

128 deals were made last month generating the highest funding influx for this year so far. This year  many startups including Ola Electric, Mobikwok, and FirstCry are planning to debut on the stock market  exchange. Indian startups had the highest investment for 2024 in May, with the highest total funding this year of $1 billion. 

Conclusion: 

Following the election results Indian startup ecosystem saw a huge decline in its stock but the market  is now recovering after political stability as the stock market saw a 3.36 percent increase. Indian stock markets crashed on Tuesday following the general elections and gained momentum on Friday. On  Tuesday, Delhivery, a platform that allows you to track your package across India reported a 6.26%  decline in its stock. Indian startups saw gains on Friday after the stock market gained a 3.36 percent  increase, the BSE Sensex increased.

The losses faced in the stock market were almost recovered in  three trading sessions, at Rs 28 lakh crore. Many Indian startups got access to various government  policies to help startups and went unicorn this year. Awis is one of those startups that went public this  year and recorded a gain in the stock market. The future and impact of the Indian startup ecosystem  will again change following the new government. The stock prices for all the Indian startups fell into  the negative zone last week, they are said to be recovering following this gain in the market on Friday.