PM Modi launches Rs 1 lakh crore RDI Fund to to spur private R&D, inspire Gen Z innovators

New Delhi: Prime Minister Narendra Modi on Monday launched the Rs one lakh crore RDI Fund to promote private sector investments in research and development.

He launched the Research, Development and Innovation (RDI) Fund at the first ever Emerging Science Technology and Innovation Conclave (ESTIC) that brings together policy makers, innovators and global visionaries to drive the government’s Viksit Bharat 2047 vision.

Modi also launched a coffee table book on scientific achievements of India and a vision document for science and technology.

The Department of Science and Technology (DST) is the nodal ministry of the RDI Fund that will operate through a two-tiered funding structure.

At the first level, a Special Purpose Fund (SPF) will be established within the Anusandhan National Research Foundation (ANRF), which will serve as the custodian of the Rs one lakh crore corpus.

The Fund will not directly invest in industries and start-ups but will channel capital to second-level fund managers, who can be Alternative Investment Funds (AIF), Development Finance Institutions (DFI), Non-banking Finance Companies (NBFCs), among others.

Recommendations for support will be made by second-level fund managers through investment committees comprising experts from financial, business, and technical domains operating at arm's length from the government.