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Prime Minister Narendra Modi is set to unveil a Rs 1 lakh crore Research, Development, and Innovation (RDI) scheme during the Emerging Science & Technology Innovation Conclave (ESTIC) 2025 in New Delhi on November 3.According to a press release from the prime minister’s office, the fund is designed to build a strong, private sector driven research and development (R&D) ecosystem across India.ESTIC 2025The conclave will run from November 3–5, 2025, bringing together over 3,000 participants from academia, research institutions, industry, and the government. Attendees will include Nobel laureates, leading scientists, innovators, and policymakers.Discussions at ESTIC 2025 will centre around 11 key themes, including:Advanced materials and manufacturing.Artificial intelligence.Bio-manufacturing.The blue economy (sustainable use of oceans).Digital communications.Electronics and semiconductor manufacturing.Emerging agriculture technologies.Energy.Environment and climate.Health and medical technologies.Quantum science and technology.Space technologiesFund overviewDuring an interaction with ET in September, Abhay Karandikar, secretary, Department of Science and Technology, had confirmed that the fund would be launched in November. This is the first time the government will use public funds for private sector R&D, Karandikar had said.The RDI fund will have a two-tier structure, with the department financing projects through second-level fund managers rather than investing directly. It will work with venture capital funds, alternative investment funds, and institutions such as IITs and the Technology Development Board.Karandikar explained, “The support will be either long-term, low-interest loans to corporates, or equity contributions in startups.”He added that projects must focus on cutting-edge R&D in areas such as energy, biotechnology, medical devices, deep tech, or artificial intelligence.There will be no upper limit on the investment amount, and large companies can also apply. “There is no upper cap, and we can even invest in a large conglomerate, but they have to put in 50% of the project cost themselves,” he had said.Finance minister Nirmala Sitharaman first announced the Rs 1 lakh crore R&D fund in the 2024 budget. In February 2025, she allocated Rs 20,000 crore to the Department of Science and Technology to initiate the scheme.During the budget announcement, the finance minister also said that a deep-tech fund of funds would be created as part of this initiative to support the next generation of startups.The RDI fund seeks to bridge the gap in private sector R&D spending in India. Currently, private investment accounts for only 30–35% of total R&D expenditure, compared to around 70% in advanced economies, Karandikar said. By offering patient capital and reducing risk for early-stage investments, the fund aims to fix this imbalance.
