India’s private equity (PE) market remained resilient with investments touching $15.8bn at the end of Q2’26, despite geopolitical tensions and energy-related uncertainties, supported by strong underlying economic fundamentals, according to KPMG’s latest Pulse of Private Equity report.PE investment in India stood at $31.8 billion in the full year 2025, even as deal volumes softened. Healthcare and pharmaceuticals, financial services — including banks, non-bank financial institutions and insurance companies --consumer goods and precision manufacturing continued to attract investor interest.Investors are increasingly targeting high-growth, profitable businesses with strong cash flows and opportunities for scaling and consolidation, with family-owned enterprises emerging as a key focus area, it said.“Private equities in India are obviously looking for high growth businesses with strong profitability and cash flows,” said Nitish Poddar, Partner and National Leader–Private Equity, KPMG in India.According to Poddar, succession-related opportunities and businesses facing growth constraints are also attracting PE investors. He noted that investors are increasingly combining assets and businesses to create larger platforms, generate economies of scale and unlock value.“That’s a major trend we’re seeing: PEs bringing together assets and creating big platforms in order to drive value,” Poddar said.Globally, the PE market also demonstrated resilience at the end of second quarter, taking total investment in the first half of 2026 to $1 trillion across 9,294 deals.The Americas accounted for the largest share, attracting $579.1 billion across 4,219 deals. The US alone contributed $545 billion through 3,926 deals. The EMA region followed with $343.2 billion across 4,067 deals, while ASPAC recorded $67.9 billion across 639 deals.At the sector level, technology, media and telecommunications (TMT) remained the largest recipient of PE capital globally, attracting $354.7 billion by mid-2026. Industrial manufacturing followed with $154 billion.Energy and natural resources emerged as another major area of investor interest, with $149.2 billion invested by mid-year, putting the sector on track for a record year.Gavin Geminder, Global Head of Private Equity at KPMG International, said energy had already attracted significant investment in 2026, driven by efforts to reduce energy dependency, accelerate the transition to cleaner energy and meet rapidly rising electricity demand from AI infrastructure.He said these factors suggest that the current surge in PE investment in energy could mark only the beginning of a broader investment cycle. Published - August 27, 2026 10:00 pm IST