India's Big Bet: ₹1 Lakh Crore for Private R&D & Deep Tech

In a significant step to boost India’s innovation and research ecosystem, the Union Cabinet has approved the Research Development and Innovation (RDI) Scheme with a funding corpus of ₹1 lakh crore. The initiative aims to provide long-term, concessional financing to increase private sector participation in strategic and emerging sectors, promoting self-reliance and enhancing global competitiveness.

Announcing the approval, Information and Broadcasting Minister Ashwini Vaishnaw highlighted the scheme’s recognition of the private sector’s key role in driving innovation and commercialising research. The Department of Science and Technology (DST) will serve as the nodal agency for implementation.

Key features of the scheme include:

Long-tenure loans at low or zero interest

Risk capital support

Funding for high Technology Readiness Level (TRL) projects

Establishment of a Deep-Tech Fund of Funds to back cutting-edge innovation and startups

The scheme will be governed by the Anusandhan National Research Foundation (ANRF), chaired by the Prime Minister. Operational oversight will rest with an Empowered Group of Secretaries (EGoS), led by the Cabinet Secretary. A two-tiered funding structure will enable the Special Purpose Fund within ANRF to channel resources to second-level fund managers, who will finance transformative R&D initiatives in sectors vital to India’s strategic and economic future.

News by Rahul Yelligetti.