Government tech fund awarded to private firms associated with selection panel.

The Indian government has established a ₹1 lakh crore (approximately $12 billion) Research, Development, and Innovation (RDI) scheme aimed at fostering deep-tech innovations within the country. This initiative was approved by the Union Cabinet and is designed to stimulate advancements in critical technology sectors.

Recently, concerns have been raised regarding potential conflicts of interest associated with the allocation of funds to private firms. Reports indicate that some of the companies receiving financial support are linked to the panel responsible for selecting them. In response, government officials have defended the RDI program, stating that proper procedures were followed and that the initiative is intended to benefit the broader technological ecosystem in India.

As part of this scheme, an initial allocation of ₹2,000 crore (approximately $240 million) has been sanctioned to jumpstart deep-tech innovation projects. Additionally, the government plans to allocate ₹20,000 crore (around $2.4 billion) for the fiscal year 2026-27 as part of the deployment of this fund.

The RDI scheme aims to support research in areas such as artificial intelligence, quantum computing, and biotechnology, aligning with the governments broader goals of positioning India as a leader in the global tech landscape. The programs design includes competitive grants and funding opportunities for various stakeholders, including startups, established firms, and research institutions.

Overall, this initiative is part of Indias strategic effort to bolster its technological capabilities and drive economic growth through innovation. The government believes that by investing in deep-tech sectors, India can enhance its competitive advantage in a rapidly evolving global marketplace.