{"id":46711,"date":"2025-07-02T19:26:53","date_gmt":"2025-07-02T13:56:53","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=46711"},"modified":"2025-07-05T18:20:25","modified_gmt":"2025-07-05T12:50:25","slug":"cabinet-approved-rdi-scheme","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/02-07-2025\/cabinet-approved-rdi-scheme","title":{"rendered":"Cabinet Approved Research Development and Innovation (RDI) Scheme"},"content":{"rendered":"\n<p><strong>Syllabus: GS3\/Science and Technology<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Context<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The Union Cabinet has approved the <strong>Research Development and Innovation (RDI) Scheme<\/strong> with a corpus of <strong>Rs. One lakh Crore.<\/strong><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Research Development and Innovation (RDI) Scheme<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Key Objectives:<\/strong>\n<ul class=\"wp-block-list\">\n<li>Promote private sector investment in RDI, especially in areas of economic security and strategic relevance;<\/li>\n\n\n\n<li>Support transformative projects at higher Technology Readiness Levels (TRLs);<\/li>\n\n\n\n<li>Support acquisition of technologies which are critical or of high strategic importance;<\/li>\n\n\n\n<li>Facilitate creation of a Deep-Tech Fund of Funds (FoF) to support deep-tech innovations and startups.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Institutional Framework:<\/strong>\n<ul class=\"wp-block-list\">\n<li><strong>Governing Board (<a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/11-09-2024\/anusandhan-national-research-foundation-anrf\" data-type=\"link\" data-id=\"https:\/\/www.nextias.com\/ca\/current-affairs\/11-09-2024\/anusandhan-national-research-foundation-anrf\">Anusandhan National Research Foundation (ANRF<\/a>):<\/strong> Chaired by the Prime Minister, provides overall strategic direction.<\/li>\n\n\n\n<li><strong>Executive Council (ANRF): <\/strong>Approves scheme guidelines, identifies projects and fund managers.<\/li>\n\n\n\n<li><strong>Empowered Group of Secretaries (EGoS): <\/strong>Chaired by the Cabinet Secretary, oversees implementation, reviews performance, and approves changes.<\/li>\n\n\n\n<li><strong>Nodal Department: <\/strong>Department of Science and Technology (DST).<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Two Tired Funding Mechanism under the Scheme<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The government will channel <strong>\u20b91 lakh crore to the Anusandhan National Research Foundation (ANRF) <\/strong>as a<strong> 50-year interest-free loan.<\/strong>&nbsp;<\/li>\n\n\n\n<li><strong>Special Purpose Fund (SPF): <\/strong>Created under ANRF, it acts as<strong> custodian of funds<\/strong>. From the SPF funds shall be allocated to a<strong> variety of 2nd level fund managers.&nbsp;<\/strong><\/li>\n\n\n\n<li><strong>Second-Level Fund Managers: <\/strong>Receive concessional long-term loans or equity from SPF to fund R&amp;D projects.\n<ul class=\"wp-block-list\">\n<li>The funding to R&amp;D projects by the 2nd level fund managers would normally be in the <strong>form of long-term loan at low or nil interest rates.<\/strong><\/li>\n\n\n\n<li>They will <strong>evaluate and select individual projects <\/strong>for funding, through both equity and debt<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Forms of Financing:<\/strong> Long-term concessional loans (primary mode).\n<ul class=\"wp-block-list\">\n<li>Equity financing (especially for startups).<\/li>\n\n\n\n<li>Contributions to Deep-Tech Fund of Funds.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Need For the Scheme<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The 2024-25 Economic Survey noted that even though India has increased the gross expenditure on research and development (GERD) from approximately \u20b960,196 crore in 2011 to about \u20b9127,381 crore in 2021, it <strong>still is a mere 0.64% of the GDP.&nbsp;<\/strong><\/li>\n\n\n\n<li>The survey noted that this remains <strong>\u201cinsufficient and remains low compared to many countries that have forged ahead in R&amp;D\u201d<\/strong>.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Significance<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Addresses financial constraints of private R&amp;D in India.<\/li>\n\n\n\n<li>Boosts innovation in sunrise sectors (e.g., AI, semiconductors, clean energy).<\/li>\n\n\n\n<li>Aligns with the vision of <a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/19-04-2025\/viksit-bharat-developed-india-by-2047\" data-type=\"link\" data-id=\"https:\/\/www.nextias.com\/ca\/current-affairs\/19-04-2025\/viksit-bharat-developed-india-by-2047\"><strong>Viksit Bharat@2047<\/strong><\/a> by building a robust innovation ecosystem and promoting self-reliance.<\/li>\n<\/ul>\n\n\n\n<p><strong>Source: <\/strong><a href=\"https:\/\/www.pib.gov.in\/PressReleasePage.aspx?PRID=2141130\" rel=\"nofollow noopener\" target=\"_blank\"><strong>PIB<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<h3><strong>Context<\/strong><\/h3>\n<li class=\"ms-5\">The Union Cabinet has approved the Research Development and Innovation (RDI) Scheme with a corpus of Rs. One lakh Crore.<\/li>\n<p><\/p>\n<h3><strong>Need For the Scheme<\/strong><\/h3>\n<li class=\"ms-5\">The 2024-25 Economic Survey noted that even though India has increased the gross expenditure on research and development (GERD) from approximately \u20b960,196 crore in 2011 to about \u20b9127,381 crore in 2021, it still is a mere 0.64% of the GDP.\u00a0<\/li>\n<li class=\"ms-5\">The survey noted that this remains \u201cinsufficient and remains low compared to many countries that have forged ahead in R&#038;D\u201d.<\/li>\n<p><a href=\"https:\/\/www.nextias.com\/ca\/current-affairs\/02-07-2025\/cabinet-approved-rdi-scheme\" class=\"btn btn-primary btn-sm float-end\">Read\u00a0More<\/a><\/p>\n","protected":false},"author":15,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-46711","post","type-post","status-publish","format-standard","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/46711","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=46711"}],"version-history":[{"count":3,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/46711\/revisions"}],"predecessor-version":[{"id":47020,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/46711\/revisions\/47020"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=46711"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=46711"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=46711"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}