Venture Capital Markets Expanding in China

Filed in archive News on August 5, 2010

© Tracy O

As venture capital markets continue to shrink for the United States and Europe, emerging markets such as India, Brazil and especially China are seeing an expansion. Deloitte and the National Venture Capital Association recently released their study which found that China and other emerging markets are set to prosper over the next five years, while venture capital will dwindle for the US, Europe and Canada.

The study was entitled the 2010 Global Venture Capital Survey and it was conducted by questioning 500 venture capitalists worldwide. It found that 99 percent of Chinese venture firms expected the number of venture firms in China to increase. Brazil also scored highly at 97 percent and India too at 85 percent. Valuations of China's venture capital over the next five years are expected to rise dramatically as 62 percent of venture capitalists expect valuations to increase in a number of years.