Published on: June 4, 2026
New Delhi, India: The Open Network for Digital Commerce (ONDC) has raised ₹220 crore (approximately $23.1 million) from four strategic investors—Uber, Zoho, One97 Communications (Paytm’s parent company), and BSE—strengthening its efforts to expand India’s open digital commerce ecosystem.
As per a board resolution dated May 12, 2026, ONDC issued 2.2 crore equity shares with a face value of ₹100 each through a private placement. Zoho contributed the highest investment at ₹70 crore, while Uber India and Paytm each invested ₹60 crore. BSE participated with an investment of ₹30 crore.
Commenting on the development, ONDC Chief Financial Officer Krishan Agarwal stated on LinkedIn: “As we continue our broader fund raise programme, the participation of such respected organisations is a meaningful validation of both the progress achieved so far and the long-term potential of the network.”
The fresh capital arrives as the government-backed initiative focuses on expanding participation across industries and strengthening its digital commerce infrastructure.
Established in December 2021 as a Section 8 company, ONDC was founded by the Quality Council of India (QCI) and Protean eGov Technologies. The network enables interoperability between buyer and seller applications, allowing transactions across platforms without dependency on a single marketplace.
Over time, ONDC has expanded beyond ecommerce into sectors including mobility, logistics, and financial services. According to the organization, the network facilitated 21.8 crore transactions during FY26 and is currently active in 616 cities, supporting over 7.64 lakh sellers and service providers.
Zoho’s investment further strengthens its existing collaboration with ONDC. The SaaS company has already integrated several products—including Vikra, Zoho ERP, Zoho Books, Zoho Inventory, and Zoho Commerce—with the network to help MSMEs digitize operations, streamline inventory management, simplify accounting processes, and access new customer channels.
For Uber, the investment represents one of its earliest strategic commitments to ONDC. The company noted that the move reinforces its support for India’s Digital Public Infrastructure (DPI) ecosystem. Uber had previously partnered with ONDC in December 2025 to expand into B2B logistics and enable metro ticket bookings through the platform.
The latest funding round adds to ONDC’s growing list of strategic and institutional investors, which already includes Kotak Mahindra Bank, Axis Bank, SIDBI, and ICICI Bank.
While ONDC has continued to diversify across multiple sectors, retail transaction volumes have encountered challenges amid growing competition from established ecommerce and quick-commerce players. Despite this, the network remains focused on increasing adoption among kirana stores, farmers, artisans, and rural entrepreneurs while strengthening its logistics network through partnerships with companies such as Delhivery, Shadowfax, Loadshare, Porter, and Amazon Logistics.
Read more: ONDC Appoints Vibhor Jain as Managing Director & CEO
