PM Modi launches RDI Scheme: What is the Rs 1 lakh crore fund?

Prime Minister Narendra Modi on Monday launched the Research, Development, and Innovation (RDI) Scheme Fund, which was announced while presenting the interim budget of 2024-2025. The total corpus of the scheme is Rs 1 lakh crore.

Whatis the RDI Scheme Fund?

The RDI fund will provide long-term financing or refinancing with long tenors and low or nil interest rates for the private sector's research and innovation initiatives. It was announced by Finance Minister Nirmala Sitharaman during the 2024-25 interim Budget.

The fund was launched to encourage the private sector to scale up research and innovation in sunrise domains. PM Modi launched the initiativeat the Emerging Science, Technology, and Innovation Conclave 2025.

Under the RDI scheme, Rs 1 lakh crore will be allocated over six years. Rs 20,000 crore will be allocated for the financial year 2025-2026.

The scheme offers long-term low or zero-interest loans, equity investments, and contributions to Deep-Tech Fund of Funds. Grants and short-term loans are not provided under this scheme, Jitendra Singh, Union Minister of State (Independent Charge) for Science and Technology, Earth Sciences. Informed the Rajya Sabha in a written reply on July 31, 2025.

Announcing the scheme, PM Modi said that the government is focusing on inducing Ease of Doing Research. He said India's research and development budget has been doubled over the past 10 years, demonstrating the country's commitment to innovation

"Additionally, the number of registered patents has grown an impressive 17-fold. In the startup landscape, India has emerged as the third-largest ecosystem globally," he added.

He also said that women make up 43 per cent of those pursuing STEM education in India, which is well above the global average.

What is ESTIC 2025?

ESTIC 2025, being held from 3-5 November 2025, brings together academia, research institutions, industry, and government to discuss 11 key thematic areas. These areas include: Advanced Materials & Manufacturing, Artificial Intelligence, Bio-Manufacturing, Blue Economy, Digital Communications, Electronics & Semiconductor Manufacturing, Emerging Agriculture Technologies, Energy, Environment & Climate, Health & Medical Technologies, Quantum Science & Technology, and Space Technologies.