Business

India Sees Sharp Rise In Active Companies; Led By Services & Industrial Growth

India witnessed a notable increase in active companies during the last financial year (FY25), with over 1.62 lakh new entities added, largely driven by expansion in the industrial and services sectors.

According to the latest figures from the Ministry of Corporate Affairs (MCA), the services sector alone accounted for nearly two-thirds of all new registrations.

Between April 2024 and February 2025, a total of 1,41,675 companies registered, contributing close to ₹3.36 lakh crore in paid-up capital.

Notably, over 82% of this capital came from industrial activities, including manufacturing, textiles, mining, quarrying, and chemicals.

As of 31 January 2025, the total number of registered companies in India stood at 28,05,354.

Of these, 65% or 18,17,222 companies were active, reflecting a marginal 0.14% increase in the share of active firms compared to December 2024.

Among registered foreign firms, 5,216 entities recorded, of which 3,281 (63%) were active.

Private limited companies continued to dominate the corporate landscape, forming 96% of all registered firms and accounting for 38% of the paid-up capital.

Public limited companies, though fewer in number (4%), held a larger share – 62% – of the total capital.

Sector-wise, business services led the count of active companies with 27%, followed by manufacturing at 20%, and trading, community, personal and social services at 13%.

A ministry statement highlighted, “It is also observed that the Services Sector saw the maximum increase in the total number of active Companies, followed by the Industry Sector and Agriculture Sector. In the Services Sector, the Community, Personal and Social Services Sector showed the maximum rise in the number of Active Companies.”

State-level data showed Maharashtra had the highest number of active companies, followed by Delhi, Uttar Pradesh, and West Bengal.

Also Read: Commercial Vehicle Sales In India Set To Hit Pre-Pandemic Levels In FY26: Crisil

Bharat Express English

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