India, April 12 -- Last week, India got its 128th unicorn, as KreditBee entered the coveted club. The fintech startup raised $280 Mn in a Series E round at a valuation of $1.5 Bn, becoming the second unicorn of 2026 after Juspay.

The development stands out not just for its size but for its timing. The funding comes amid a prolonged capital squeeze in India's startup ecosystem. As per Inc42's Q1 report, total startup funding declined 26% YoY to $2.3 Bn in Q1 2026, with a mega deal ($100 Mn and above) drought during the quarter. Add to this the ongoing geopolitical tensions in West Asia, and the backdrop becomes grimmer.

Despite the gloom, KreditBee's raise was oversubscribed with more than 3X investor interest, reflecting investors' conv...