RDI Fund: Centre clears 22 projects worth ₹4,744 crore, BIRAC shortlists 8 more
Synopsis
India's ₹1 lakh crore RDI Fund is moving from policy to deployment: 22 projects worth ₹4,744 crore have been cleared, with over 200 applications totalling ₹8,000 crore still in the pipeline. The scale of demand signals that India's deep-tech ecosystem is ready to absorb capital — the question is how fast the sanctioning machinery can keep pace.
Key Takeaways
TDB has approved 22 projects with a total cost of ₹4,744 crore , with RDIF support of ₹2,192 crore extended to them.
BIRAC has shortlisted 8 additional projects for RDIF support worth ₹390.35 crore .
Both TDB and BIRAC are designated SLFMs, each sanctioned ₹1,000 crore under the RDI Fund.
The ₹1 lakh crore RDI Fund was approved by the Union Cabinet in July 2025 and launched in November 2025 .
Over 162 AIF and 38 FRO applications totalling around ₹8,000 crore are currently under review.
Target sectors include quantum computing , AI , biotechnology , space , energy transition , and digital agriculture .
The Central government's Technology Development Board (TDB) has approved 22 projects with a combined project cost of ₹4,744 crore under the Research, Development and Innovation (RDI) Fund, with RDIF support of ₹2,192 crore extended to them, Parliament was informed on Thursday, 23 July. Union Minister Dr Jitendra Singh disclosed in the Rajya Sabha that the Biotechnology Industry Research Assistance Council (BIRAC) has separately shortlisted eight more projects for RDIF support, involving ₹390.35 crore.
Fund Structure and Allocation
Both TDB and BIRAC were designated as Second Level Fund Managers (SLFMs) under the Focused Research Organisations (FRO) category of the RDI Fund. Each has been sanctioned ₹1,000 crore under the scheme, earmarked for investment in eligible technology entities, according to a statement from the Ministry of Science and Technology.
The Union Cabinet had approved the ₹1 lakh crore RDI Fund in July 2025, with the fund formally launched in November 2025. The scale of the commitment signals a sustained policy push toward building domestic deep-technology capacity.
Pipeline: Over ₹8,000 Crore in Applications
Following an open call for applications from SLFMs, the government received 162 applications from various Alternative Investment Funds (AIFs) and 38 applications from Focused Research Organisations. These applications, involving a total proposed commitment of around ₹8,000 crore, are currently under consideration by the competent sanctioning authority, Dr Singh said.
This is a significant pipeline relative to the fund's current deployment, and suggests demand from the innovation ecosystem far exceeds what has been sanctioned so far.
Target Sectors
The RDI Fund is designed to support strategic technology domains, including energy security and transition, climate action, quantum computing, robotics, space technologies, and artificial intelligence (AI) applications in agriculture, health, and education. The scheme also covers biotechnology, biomanufacturing, synthetic biology, pharmaceuticals, medical devices, and the digital economy, including digital agriculture. Technologies whose indigenisation is considered strategically important are also included.
Significance and What Comes Next
The RDI Fund represents one of the largest government-backed innovation financing mechanisms India has attempted, aiming to crowd in private capital through a fund-of-funds architecture. With over 200 applications already processed and the sanctioning authority actively reviewing them, further tranches of approvals are expected in the coming months. The outcome of the AIF applications — involving the bulk of the ₹8,000 crore pipeline — will be a key indicator of how quickly the fund scales toward its ₹1 lakh crore ceiling.
Point of View
192 crore deployed so far is stark. With ₹8,000 crore in applications pending and only two SLFMs operational, the bottleneck is clearly on the sanctioning side, not demand. The real test will be whether the government can accelerate AIF onboarding without diluting the strategic focus on sectors like quantum and semiconductors — areas where India is competing against state-backed programmes in the US, China, and the EU.
NationPress
23 Jul 2026
Frequently Asked Questions
What is the RDI Fund and how large is it?
The Research, Development and Innovation (RDI) Fund is a ₹1 lakh crore government scheme approved by the Union Cabinet in July 2025 and launched in November 2025. It is designed to finance deep-technology innovation across strategic sectors through a fund-of-funds structure involving Second Level Fund Managers.
How many projects have been approved under the RDI Fund so far?
The Technology Development Board (TDB) has approved 22 projects with a total project cost of ₹4,744 crore, with RDIF support of ₹2,192 crore. BIRAC has additionally shortlisted 8 projects worth ₹390.35 crore.
Which sectors does the RDI Fund target?
The fund covers energy security and transition, climate action, quantum computing, robotics, space technologies, AI applications in agriculture and health, biotechnology, biomanufacturing, pharmaceuticals, medical devices, and the digital economy. It also includes technologies considered strategically important for indigenisation.
How much funding is currently in the pipeline under the RDI Fund?
Over 162 AIF and 38 FRO applications have been received, involving a total proposed commitment of around ₹8,000 crore. These are currently under review by the competent sanctioning authority.
What are TDB and BIRAC's roles in the RDI Fund?
Both the Technology Development Board (TDB) and the Biotechnology Industry Research Assistance Council (BIRAC) are designated as Second Level Fund Managers (SLFMs) under the Focused Research Organisations category. Each has been sanctioned ₹1,000 crore to invest in eligible technology entities.
