With the re-election of Donald Trump as the President of the United States, investors are hopeful that the changes in American policies will be beneficial for the Indian start-up sector. With Trump's strong stance against China, it is also possible to shift American investments to India. In 2021, with the implementation of low interest rates by the US Federal Reserve, Indian start-up funding had increased to $36 billion. However, as rates later rose, the funding was reduced to $8.8 bn in 2023.

Decisive investment experts expect policy stability in the event that Republicans control the White House and the Senate and Congress. "There is an expectation that Trump will give tax concessions, which will be beneficial for big companies and big funds," said a venture capital partner in Delhi.

Trump's rival Kamala Harris's stance against tax hikes on companies has caused concern among Indian startups. Companies like Amin and Grove have come back to India from the US and Razorpay and Meesho have also started the process of moving their offices to India.

Investment experts say that after the elections, there will be more peace on the investment front and future investment plans will be taken forward with more stability.

"Trump's anti-China policies will have positive implications for the Indian start-up investment sector," said Sanjay Swamy, partner at Prime Venture Partners.