ECONOMIC ACTIVITY WISE REGISTRATION OF NEW COMPANIES OVER THE YEARS

Due to gradual changes coming in economic policies over the years, the economy of India is witnessing growth by leaps and bounds.

There are broadly three sectors in the Indian Economy namely Agriculture, Industry, and Services. The service sector has outshined the industrial as well as agriculture sector over the years in terms of the number of registered companies. Business Services consists of the highest number of registered companies in India followed by Manufacturing. Trading, Community and Social Services and Construction, are among other segments which have attracted corporates. There has been a drastic growth of more than 433% in the Agriculture and Allied Activities sector during the past decade.

TOP 10 STATES AS PER THE SHARE OF ACTIVE COMPANIES OVER THE YEARS

Maximum registration of companies in India has been at Economic capital, Mumbai, and is followed by National Capital, Delhi. Other states such as West Bengal & Tamil Nadu, etc. have witnessed a gradual rise in the number of active companies over past years.

SHARE OF PRIVATE VERSUS PUBLIC COMPANIES OVER THE YEARS

With the globalization of the market and adaptation of the Privatization concept by the Indian Government in the 90s, Private companies occupy approximately 99% of the total Indian market in FY 2026.

TOTAL ACTIVE COMPANIES OVER THE YEARS

From FY 2015-2016 to 2026-2027, there has been a fluctuating growth in the existence of Active Companies in India. However, stability in the government post-2014 lead to a continuous increase in the number of active companies which depicts the stability of the Indian Corporate market. The increasing trend can also be seen in 2025-26 as the number of active companies grew by over 10% as compared to the previous year.

CATEGORIZATION OF TOTAL CLOSED COMPANIES OVER THE YEARS

Introduction of new concepts for Indian market such as Closer of sick PSU’s, booming up of Real Estate Regulation Act (RERA), identification of inactive companies and striking up of Shell companies has led to a sharp rise in the number of struck off companies in 2019-20 causing the closure of over 6 lakh companies in the year. In the year 2025-26, closed companies constitute 76% of defunct companies, 12% of amalgamated companies, and 2% of the dissolved companies.