PM Modi launches Rs 1 lakh-crore RDI scheme to boost innovation

At the inaugural session of the Emerging Science, Technology, and Innovation Conclave (ESTIC) 2025, held at Bharat Mandapam, New Delhi, Prime Minister Narendra Modi announced the launch of the Rs 1 lakh crore Research, Development, and Innovation (RDI) Scheme. The initiative aims to transform India’s innovation landscape and strengthen its leadership in strategic technologies.

Speaking at the event, the Prime Minister said, “For the first time, capital is being made available for high-risk and high-impact projects.” He emphasised that the government is working to build a modern innovation ecosystem that improves the ease of doing research, with reforms introduced in procurement policies, regulations, and financial rules.

The RDI Scheme, funded through a long-term, interest-free loan to the Anusandhan National Research Foundation (ANRF), is designed to catalyse private investment in high-technology domains. It aims to address the long-standing gap in financing for high-TRL (Technology Readiness Level) projects, facilitating the transition of ideas from the laboratory to the market.

India’s Innovation and Startup Growth

Highlighting the impact of recent policy reforms, Modi shared that India’s gross R&D expenditure has doubled over the past decade, while the number of patents registered has grown 17-fold. He noted that India is now the third-largest startup ecosystem in the world, with over 6,000 deep-tech startups operating in sectors such as clean energy and advanced materials.

The Prime Minister also underscored the emergence of India’s semiconductor sector and the exponential growth of the bio-economy, from USD 10 billion in 2014 to USD 140 billion at present. These developments, he said, are evidence of India’s expanding capabilities in sunrise domains, including green hydrogen, quantum computing, deep-sea research, and critical minerals.

Inclusive Innovation and STEM Push

Emphasising the role of inclusive innovation, the Prime Minister said, “When innovation is inclusive, its primary beneficiaries also become its leaders.” He pointed to the growing contribution of Indian women in science and technology, with women now accounting for 43% of enrollments in STEM—Science, Technology, Engineering, and Mathematics—education and filing over 5,000 patents annually, up from fewer than 100 a decade ago.

He also credited India’s expansive digital public infrastructure, including fibre connectivity to over two lakh gram panchayats and affordable mobile data access, for enabling nationwide participation in innovation.

The Prime Minister also reflected on how India’s indigenous vaccine development during the COVID-19 pandemic demonstrated the power of science-driven transformation. He linked this momentum to future opportunities, such as biofortified crops, genomics for personalised medicine, and clean energy storage.

Concluding his address, Prime Minister Modi urged the scientific community to go beyond immediate questions and explore new possibilities. He expressed confidence that the RDI Scheme will provide the necessary foundation for India’s innovation-led growth journey as it moves toward its vision 2047 for a Viksit (developed) Bharat.

Welcoming the announcement, Ashok Chandak, President of IESA and SEMI India, said, “This landmark initiative will significantly strengthen India’s innovation ecosystem and empower the private sector to lead cutting-edge R&D across high-impact domains, including semiconductors and advanced electronics."

He added that the RDI Scheme is a “crucial catalyst to drive indigenous research, design-led manufacturing, and technology development,” helping India transition from being a major technology consumer to a global innovator and producer.