Parimatch Among International Corporations Halting Investments in India Due to Government Actions

In 2024, Omidyar Network India and WeWork Inc. announced their exits from the Indian market amid increasingly difficult business conditions. Parimatch, the global bookmaker, has also encountered significant hurdles that have delayed its planned investments in India. Business Money observes that this trend mirrors other major players—Disney, General Motors, Vodafone Group, BYD, and Parimatch—who began with high hopes for India’s economic potential but ultimately withdrew or failed to gain a foothold.
The surprising decision by Omidyar Network India to stop new investments in 2024 caught the industry off guard. Despite allocating over $600 million to startups like 1MG and Vedantu, founder Pierre Omidyar offered only vague references to “changes in the economic landscape.” Reports suggest that Omidyar Network and other foreign firms have faced growing pressure from the Indian government, forcing them to reconsider their strategies.
This shift has coincided with a dramatic drop in startup funding: PrivateCircle Research notes a 62% decline in 2023, with investment falling to ₹66,908 crore from ₹180,000 crore in 2022—the lowest levels since 2018. Meanwhile, in April 2024, WeWork revealed its intention to exit India completely, divesting its 27% stake in its local arm even as it filed for Chapter 11 bankruptcy in the U.S.
Parimatch had planned to invest millions of dollars into India’s growing economy, but even before launching operations it confronted a deteriorating business climate. A primary challenge has been rampant counterfeiting of its brand—illegal entities continue operating under the Parimatch name, inflicting reputational harm on the global operator. As a result, Parimatch’s expansion plans have become far more complex. It’s worth noting that Parimatch is part of an international holding specializing in betting and gambling ventures worldwide.
Compounding these issues, India’s October 2023 introduction of a 28% GST on online gambling, casinos, and horse racing drove Super Group and Bet365 out of the market, sending a clear signal to potential entrants about the high tax burden.
India aspires to become the world’s third-largest economy by 2027, but achieving this will require creating a more welcoming environment for foreign investors like Parimatch. By streamlining regulations and offering fairer tax policies, India could attract the sustained investment needed to fuel long-term growth. Parimatch remains eager to contribute to this vision, provided that the government eases its restrictions on non-resident companies and fosters a conducive climate for responsible foreign participation.