India’s RDI Scheme Overcoming Governance Bottlenecks for Strategic Innovation

Abstract

India’s major research, development, and innovation scheme aims to catalyse private sector research and development in strategic and sunrise sectors. While addressing critical capital gaps, the loan-centric model of the scheme imposes repayment burdens misaligned with high-risk R&D and lacks grants for early-stage innovation. The scheme’s complex governance risks inefficiency and misalignment with deep-tech dynamics. Successful outcomes demand radical governance reform towards a technocratic board, strict timelines, and embedding within a broader ecosystem strategy addressing talent and academia–industry links, measured by patents and commercialisation. © 2025, Economic and Political Weekly. All rights reserved.