New Delhi: The Union Cabinet has cleared a ₹1-trillion Research Development and Innovation (RDI) Scheme to support private-sector R&D. Announced in the FY25 Budget, the initiative offers long-term, low-cost financing to high-growth sectors like deep-tech, AI, and green technologies. It aims to fill funding gaps, drive strategic tech acquisition, and enhance India’s innovation ecosystem.

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• ₹1-trillion RDI scheme approved to support private-sector innovation
• Long-term, low or zero interest funding for R&D in sunrise sectors
• Targets AI, deep-tech, green tech, and other high-growth industries
• Aims to fill funding gap in private-sector research
• Special Purpose Fund to be set up under Anusandhan National Research Foundation
• Fund managers to invest via loans or equity in R&D projects and start-ups
• May include investment in Deep-Tech Fund of Funds
• Part of FY25 Budget; ₹20,000 crore allocated to DST
• DST’s budget surged from ₹2,777 crore (2014) to ₹28,509 crore (FY26 est.)
• Strengthens India’s position in global tech race and innovation leadership