Since primary market fundraising is expected to reach over Rs 2 lakh crore by 2025, at least 100 businesses have submitted draft offer letters to the Securities and Exchange Board of India (SEBI), the market watchdog.

In 2024, more than 90 firms raised an incredible Rs 1.62 lakh crore, more than double the Rs 49,436 crore raised in 2023, marking a historic year for the Indian IPO market.

“As we look ahead to 2025, the primary market is poised for even greater success, with projections suggesting fundraising could surpass Rs 2 lakh crore,” said analysts.

As of right now, 100 businesses have submitted draft offer letters to SEBI; many of them have already been approved or are pending permission.

The financial services organization said, “This sets a promising tone for the year, underscoring strong market momentum and investor confidence in the upcoming IPOs.”

With strong growth and the balance of payments (BoP) outlook, as well as a sustainable fiscal and inflation outlook (except from the current jump), India’s macroeconomic situation remains respectable.

India continues to rank among the major economies with the quickest rates of growth in the globe, which makes it an alluring investment destination for investors from across the world, according to Shripal Shah, MD and CEO of Kotak Securities.

“In 2025, we predict that the commodities market will surpass its all-time high and the equities market will continue to gain strength. In addition, more young people are investing in the stock market to accumulate money at a young age, which will contribute to the market’s overall development,” he said.

Although cautious optimism is justified, domestic fundamentals will continue to be strong. When prices are high, long-term investors should concentrate on high-quality assets.

According to Kotak Securities, interest rate decreases are expected in the US, Europe, and Asia as monetary policies tilt toward relaxing and global economies stabilize.