New Delhi: Funding under the RDI Fund for industry-backed research and innovation projects will commence by the end of this month, as the scheme enters the execution phase with the approval of its first Second-Level Fund Managers (SLFMs).
The update was shared following a review meeting of the Research, Development and Innovation framework chaired by Union Minister of State (Independent Charge) for Science and Technology, Dr Jitendra Singh.
The RDI Fund, a ₹1 lakh crore national initiative aimed at catalysing private sector-led research and innovation, was approved by the Union Cabinet on July 1 last year and formally rolled out on November 3, 2025, with the launch of its implementation guidelines, notice inviting applications, and a dedicated digital portal by Prime Minister Narendra Modi.
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RDI Fund: TDB and BIRAC Approved as First Second-Level Fund Managers
Under the RDI Fund implementation framework, the Department of Science and Technology (DST) has approved the Technology Development Board (TDB) and the Biotechnology Industry Research Assistance Council (BIRAC) as the first SLFMs.
Both organisations are now poised to begin funding industry-backed projects that have progressed beyond Technology Readiness Level (TRL)-4.
TDB will act as the Second-Level Fund Manager for projects spanning all sunrise and strategic sectors covered under the RDI framework, while BIRAC will oversee initiatives focused on biotechnology and allied domains.
Both institutions are expected to issue their first calls for proposals by the end of January 2026, enabling early deployment of RDI Fund resources to innovation-driven ventures.
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₹4,000 Crore Initial Allocation Under the RDI Fund
Officials informed the Minister that BIRAC and TDB will each receive ₹2,000 crore in the first quarter, taking the initial allocation under the RDI Fund to ₹4,000 crore.
The funding will support high-risk, high-impact research and strengthen linkages between public laboratories, startups, and industry, with a focus on translational and commercially viable innovation.
The last date for receiving applications from other potential Second-Level Fund Managers is January 31, 2026. Eligible entities include Alternate Investment Funds (AIFs), Development Finance Institutions (DFIs), Non-Banking Financial Companies (NBFCs), and Focused Research Organisations (FROs).
RDI Fund Framework Reviewed Amid Stakeholder Feedback
During the review, Dr Jitendra Singh was briefed on the progress of the RDI Fund scheme, including steps taken to address stakeholder queries received after the formal rollout.
Based on feedback, revisions were made to the implementation guidelines, following which the online portal was operationalised to receive applications for SLFMs. As outlined in the Cabinet note, BIRAC and TDB were invited on a nomination basis to take up the initial SLFM roles.
The Minister was also informed that the Empowered Group of Secretaries, at its meeting held on January 12, approved the nomination of BIRAC and TDB in line with decisions taken by the Executive Council of the Anusandhan National Research Foundation (ANRF).
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Focus on Timely Execution and Industry Outcomes
Chairing the meeting, Dr Jitendra Singh stressed the importance of timely execution of the RDI Fund and closer coordination among science departments.
He underlined that public investment in research and innovation must translate into measurable outcomes for industry and society, aligned with national development priorities.
The Minister also reviewed ongoing reforms to streamline procedures, enhance transparency, and ensure ease of participation for stakeholders.
The meeting was attended by Secretaries and senior officials from various science ministries and departments. Proceedings began with welcome remarks by Prof. Ajay K. Sood, Principal Scientific Adviser to the Government of India, followed by opening remarks from Dr Jitendra Singh.
