New RDI Funding Program to Boost Innovation in India
In a significant move to propel research and innovation in India, the government announced that the Research Development Innovation (RDI) funding for industry-backed projects will commence by the end of this month. This decision follows Prime Minister Narendra Modi’s announcement on November 3, 2025, and marks the beginning of executing a funding framework aimed at bolstering private sector-led initiatives.
This update was shared during a meeting chaired by Dr. Jitendra Singh, the Union Minister of State for Science and Technology. He was briefed on the RDI Fund scheme’s progress, initially approved by the Union Cabinet on July 1, 2024. The scheme was officially launched on November 3, complete with implementation guidelines, a call for applications, and an online portal designed to facilitate this funding.
Two public sector organizations, the Technology Development Board (TDB) and the Biotechnology Industry Research Assistance Council (BIRAC), have been appointed as the first Second-Level Fund Managers (SLFMs) under this ambitious ₹1 lakh crore initiative. The primary goal is to enhance collaboration between laboratories, startups, and the industry, supporting high-risk, high-impact research projects.
As part of their roles, TDB will manage projects across all strategic sectors, while BIRAC will focus on biotechnology and related fields. Both organizations are slated to announce their first calls for project proposals by the end of January 2026, paving the way for the swift allocation of RDI Fund resources to innovative ventures.
The application window for additional Second Level Fund Managers remains open until January 31, 2026. Other potential fund managers may include structures like Alternate Investment Funds, Development Finance Institutions, and Non-Banking Finance Corporations.
Dr. Jitendra Singh reported that the Department of Science and Technology received numerous inquiries following the rollout of the RDI scheme, prompting revisions to the implementation guidelines for clarity. This has led to the operationalization of an online portal for submissions from prospective fund managers. The Empowered Group of Secretaries has also endorsed the nomination of BIRAC and TDB for their roles under the RDI scheme.
The initial allocation of ₹4,000 crore will be distributed equally between TDB and BIRAC, with each organization expected to issue calls for proposals from startups and companies before the end of January. During the review, Dr. Singh emphasized the importance of prompt execution and inter-departmental coordination, highlighting that public investment in research must yield tangible benefits for industries and society at large.
As discussions progressed, the minister reiterated the key objective of the RDI framework: to enhance private sector involvement in research and development. He expressed the need for effective transitions of scientific research into viable commercial applications that align with national development priorities. The meeting concluded with insights from Dr. Singh and contributions from Secretaries and senior officials from various science ministries.
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