The Research, Development, and Innovation (RDI) Fund — the Rs 1 lakh crore programme to support domestic companies — will reopen its call for proposals once nearly 400 applications currently under scrutiny are reviewed, Technology Development Board (TDB) Secretary Rajesh Kumar Pathak told ET on October 6. Pathak said the fund will ultimately power the Viksit Bharat 2047 vision: "If any society wants to become a developed society, it has to do (so) through science and technology innovations."
Launched in November 2025 by Prime Minister Narendra Modi, the RDI Fund is designed to nudge the private sector to take initial R&D risk by providing patient capital. TDB's mandate is to help domestic companies commercialise their R&D: firms at TRL 6-7 (technology readiness level) or at commercialisation stage can get 50% of their capital requirement supported to establish manufacturing units. The government identified the core impediment — the private sector avoided R&D hits to its bottom line — and is now "ready to associate with companies in the critical areas," Pathak said.
The reopening follows last week's temporary pause, when TDB stopped taking new proposals because of a piling up of applications needing scrutiny. The Ministry of Science and Technology clarified on October 1 that the pause was for "administrative reason" only — there is "absolutely no shortage of fund for disbursement" to Eligible Technology Entities, and projects received till September 30, 2026 are being assessed "overnight" by the Investment Committee and TDB. The DST and ANRF are also assigning several more second-level fund managers soon. The context is stark: India invests merely 0.8% of revenue in R&D with the private sector contributing just 30%, versus over 4% in China and the US where private industry leads with 70%.
Why it matters for founders
If you're a deeptech founder at TRL 6-7, this is the cheapest patient capital in the country — 50% of your manufacturing capex, government-backed. The pause is actually good news: it means demand is massive, and the pipeline is being taken seriously. Get your techno-commercial dossier ready now so you're first in line when the call reopens; and watch the new SLFM appointments, since different fund managers will have different sector appetites.