RDIF – TDB AS SECOND LEVEL FUND MANAGER (SLFM)
About RDIF
Research Development and Innovation Fund (RDIF) is a flagship initiative under the Department of Science and Technology (DST), Government of India.
- Designed to accelerate investment in India's R&D and Innovation ecosystem.
- Shall support private sector enterprises, startups, and industries working in sunrise and strategic sectors to transform ideas into globally competitive technologies and products
Approved by the Union Cabinet on 1 July 2025, the Research, Development and Innovation (RDI) Scheme aims to catalyse private sector investment in R&D with a total outlay of ₹1 lakh crore over six years, including ₹20,000 crore in FY 2025-26.
Objective
- Encouraging Private Sector Involvement: Incentivize active participation from industry players in cutting-edge research and innovation.
Promoting Strategic Technologies: Focus on mission-critical areas that are vital for national development and global competitiveness, including:
Energy security and transition, and climate action;
‘Deep technologies’ including quantum computing, robotics and space;
Artificial intelligence and its applications to Indian problems including in agriculture, health, and education
Biotechnology, biomanufacturing, synthetic biology, pharma, and medical devices;
Digital economy including digital agriculture
- Fostering Self-Reliance and Economic Security: Support technologies where indigenization is essential for strategic or economic reasons, in line with the vision of Atmanirbharta.
- Ensure Flexibility in Sectoral Support: Allow support for any additional sectors or technologies deemed essential for public interest.
Who Can Apply
Eligibility Criteria for Receiving RDIF Funds via SLFMs.
- RDIF funds shall be provided by SLFMs to Eligible Technology Entities, which are defined as any legal entity registered in India, and duly incorporated and governed under the applicable laws of India including:
- The Companies Act, 2013.
- The Indian Partnership Act, 1932.
- The Limited Liability Partnership Act, 2008,
- This to include startups as defined in the Department for Promotion of Industry and Internal Trade Notification G.S.R. 127(E) dated 19 February 2019, as may be modified from time to time); with principal place of business/operations in India; engaged in developing RDI-intensive technology at Technology Readiness Level 4 and above.
- Are under the control of resident Indian citizens, as defined in the Department for Promotion of Industry and Internal Trade (DPIIT)’s Consolidated FDI Policy (2020);
- Have their registered global headquarters in India. This ensures that global revenues and profit would be consolidated under the Indian- registered entity
RDIF Priority Sectors:
The sectors listed below have been identified for funding under the scheme:
Sunrise Sectors
- Advanced Wind Energy Systems
- Offshore and vertical-axis turbine innovation
- Hybrid Renewable Integrations
- Combined solar-wind, solar-biomass, and other hybrid systems
- Next-Generation Solar Cells
- Cells with higher power conversion
- Field efficiency enhancements
- Innovations in solar supply chain resilience
- Reducing levelized cost of utility-scale PV
- Energy Storage
- Innovative battery chemistries (lithium-ion, sodium-ion, solid-state, etc.)
- Flow Batteries (Vanadium/ Next Generation)
- Secured supply chains for battery components (cathode, anode, electrolyte)
- High energy density, long cycle life
- Battery safety and thermal management
- Hydrogen Economy
- Green hydrogen via electrolysis, blue hydrogen with carbon capture
- Seawater Electrolysis
- Storage and use, including fuel cells and ammonia as carrier/fuel
- Hydrogen Conversion into energy (Fuel Cells, ICE)
- Hydrogen Compressors
- Carbon Capture, Utilization & Storage (CCUS)
- Low-cost CO₂ capture, mineralization, bioconversion, enhanced oil recovery
- Utilization for building materials, chemicals, fuels
- Modular Nuclear Reactors
- Small Modular Reactors (SMRs), thorium-based reactors, fast breeder technologies
- Advanced Clean Energy Systems
- Fusion R&D plasma containment, superconducting magnets
- Decentralized and Off-Grid Solutions
- Solar home systems, micro-hydro, biomass gasification for rural areas
- Innovations for last-mile energy access
- Energy-Efficient Cooling
- High efficiency air conditioners
- Affordable, localized supply chains to cut import dependency of components essential for energy efficient cooling systems
- Seaweed-Based Energy & Biochemical Alternatives
- Methane Capture & Bioconversion
- Critical Minerals & Rare Earth Recycling
- Critical Minerals and Metals Processing Solutions
- Recycling systems for critical minerals and metals
- Rare earth-free magnets: Innovate high-performance magnets without rare earth elements
- Advanced surface coating and additive manufacturing technologies for aerospace, defence, chemical, oil & gas, and biomedical sectors.
- Ocean Farming & Marine Biotechnology
- Nuclear Fusion R&D
- Comprehensive Climate Action Initiatives
- High-resolution climate modelling/simulation tools
- Low-carbon tech for hard-to-abate sectors (steel, cement, chemicals)
- Electrification and green alternatives for industrial heating
- Carbon footprint monitoring and life-cycle assessment
- Climate-resilient infrastructure (smart cities, sustainable drainage, heat-resilient materials)
- Net-zero/low-carbon materials (e.g., cement with ≥90% lower emissions, fiber-based composites, passive thermal management)
- Waste-to-energy, industrial symbiosis, rare earth/critical minerals/e-waste recycling, decarbonized desalination
- Quantum Technologies
- Quantum Computing: Scalable qubit architectures, quantum algorithms for Indian applications, cryptographic security and post-quantum cryptography, error correction and noise mitigation, quantum sensing and metrology
- Quantum Communication: Quantum Key Distribution (QKD) over fiber and free space, quantum repeaters, satellite-based quantum communication
- Quantum Software & Imaging: Quantum software, compilers, quantum imaging, noninvasive diagnostics
- Quantum Materials
- Semiconductors & Electronics
- Chip design and advanced node fabrication
- Electronic control systems
- High-precision components
- Advanced Manufacturing & Robotics
- High-precision tools and dies
- Advanced automation/control systems for manufacturing assembly lines
- Metal/multi-material 3D printing for next-gen hybrid components
- Photonics & Optoelectronics
- Photonics for data centres, ultra-high-speed communications, optical transceivers
- Next-gen materials (direct bandgap silicon, 2D materials, >100 GHz modulators, silicon photonics)
- High-efficiency, integrated single photon sources
- Nanophotonic devices (on-chip integration)
- Beyond CMOS integration, neuromorphic photonics, deep tissue imaging, fully optical internet
- Optical imaging of the nervous system, photonic-enabled synthetic fuels and energy storage
- Chemistry controlled by light, nanoscale light manipulation, and regenerative medicine through optical cell manipulation
- Space Technologies
- Satellite systems (miniaturized CubeSats, NanoSats, MicroSats)
- Advanced and reusable launch vehicles, propulsion innovation (cryogenic/green propellants)
- Rocket launcher systems and debris management
- Satellite communications and high-throughput satellites
- Geospatial and remote sensing applications (including hyperspectral imaging)
- Space intelligence satellites, space station development, deep-space missions
- Next-gen payloads for earth observation, climate, agriculture, urban connectivity
- AI-based space traffic monitoring, active debris removal, on-orbit servicing/refuelling/life-extension
- Moon/Mars technology demonstrations and planetary science instruments
- Advanced Materials
- Nanomaterials, adsorbates, and composite materials (e.g., for potable water generation, fluoride removal etc.)
- Health and pharmaceutical materials: Solutions for wound healing, non-invasive continuous monitoring, ceramic implants, titanium/alloys, silicon, biomaterials for prosthetics, spinal screws, sensors
- Infrastructure building materials: Smart, self-healing, and self-luminous concrete, 3D graphene, aerographite, hydroceramics, composite foams, pre-fabrication/modular construction, transparent oxide-based electronics
- 2D materials
- Advanced catalysts for energy generation and storage
- Composites: Carbon, glass, silicon, lithium, nickel for wind blades, PV cells, batteries, smart grids
- Food and agriculture materials: EcoWool box liners, cyclic olefin polymer, biodegradable materials for efficient and sustainable cold chains
- Metal/multi-material 3D printing for hybrid properties
- Biodegradable implants
- Quantum dots for solar energy
- Carbon Fibre g>T1000 Grade
- Smart & Self-Healing Materials
- Intelligent Systems & Robotics
- Modular Robotic Platforms
- Edge Intelligence & Swarm Robotics
- Human-Robot Interaction (HRI)
- Autonomous Navigation & Perception
- Neuromorphic Computing & AI Hardware
- Edge AI Accelerators
- Neuromorphic Processors
- AI in Agriculture
- Precision farming techniques using AI
- AI-driven soil, irrigation, and fertilization management
- Disease and pest prediction through computer vision and sensors
- Yield estimation with satellite/drone imagery and data analytics
- AI-driven market linkage and agri-supply chain optimization
- Livestock monitoring and health management with AI
- Farmer-centric AI solutions in regional languages
- AI in Healthcare
- AI-based diagnostics in radiology, pathology, and genomics
- Early disease detection for cancer, TB, diabetes using predictive models
- AI-powered telemedicine and remote patient monitoring
- Predictive epidemic response and outbreak modeling
- Natural Language Processing (NLP) for Electronic Health Records
- AI for mental health, speech therapy, and rehabilitation support
- AI assistive technologies for people with disabilities
- AI in Education
- Adaptive learning platforms for personalized education
- Speech-to-text and text-to-speech in Indian languages
- Disease and pest prediction through computer vision and sensors
- Automated grading and assessment
- AI for learning disabilities and student engagement tracking
- Content recommendation engines for personalized learning paths
- Teacher-assist AI tools for curriculum and classroom support
- Virtual labs and STEM simulations
- Cross-Domain & Enabling AI Technologies
- Predictive analytics for agriculture, health, and disaster management
- AI for disaster and emergency response systems
- AI testing, validation, safety, and bias mitigation frameworks
- Development of indigenous AI chips and accelerators
- Edge-AI hardware for deployment in low-resource and rural settings
- Immersive digital health and education platforms (XR/AR/VR-enabled)
- AI Tools for MSME Automation
- Biotechnology & Life Sciences
- Genomics, genome editing, and next-generation sequencing
- Multi-omics platforms: transcriptomics, proteomics, metabolomics
- Functional and systems biology
- Bioinformatics and computational/AI-driven life sciences
- Cellular reprogramming and stem cell technologies
- Environmental biotechnology (bioremediation, wastewater treatment)
- Biomanufacturing & Bioengineering
- Microbial, plant, and mammalian cell factories for biosynthesis
- Metabolic pathway engineering for optimized production
- Sustainable bioprocesses using agro-waste and CO₂ conversion
- Advanced fermentation technologies and downstream processing
- Scale-up and production of bio-enzymes, biosurfactants, and biopolymers
- Biomanufacturing of diagnostics, vaccines, and therapeutic proteins
- Synthetic Biology & Industrial Biotech
- Design and synthesis of genetic circuits and minimal cells
- Biofoundry development for high-throughput strain engineering
- Chassis organism engineering (bacteria, yeast, microalgae)
- Biosensors for environmental and medical applications
- Biodesign automation and use of AI in strain design/pathway optimization
- Synthetic biology solutions for sustainable fuels, chemicals, and materials
- Pharmaceuticals & Drug Development
- Pre-clinical and clinical pharmaceutical R&D
- AI/ML-driven drug discovery and target identification
- Development of active pharmaceutical ingredients (APIs) and biosimilars
- Structure-based drug design and high-throughput screening
- Next-gen vaccine development (mRNA, recombinant, vector-based)
- Pharmacogenomics, personalized medicine platforms, and drug repurposing
- Orphan drug development and advanced therapeutics
- Medical Devices & Diagnostics
- Indigenous diagnostic kits (point-of-care, rapid, multiplexed)
- Wearable health monitors and implantable biosensors
- Image-guided and robotic surgical systems
- Smart prosthetics and rehabilitation technologies
- AI/ML-powered diagnostic and imaging devices
- Advanced drug delivery systems and biocompatible materials
- Devices for cancer care/radiotherapy, radiology, nuclear imaging, anesthesia, cardiorespiratory, and renal care
- Implants (bone, cochlear, pacemaker), neural chip implants, and wound healing materials
- Platform technologies for infectious disease detection and management
- Advanced Biomaterials & Regenerative Medicine
- Multi-functional, very low-toxicity biomaterials
- Advanced 3D bioprinting and biofabrication technologies
- Biomaterialomics platforms using AI for discovery and prediction
- Automated preclinical validation and regulatory compliance (in vitro/in vivo, highthroughput)
- Smart and personalized implant design (patient-specific CAD/CAM, embedded sensors, functionalized implants)
- Advanced Therapeutics & Biologics
- Broad-spectrum antibiotics targeting antimicrobial resistance (AMR)
- Microbiome-based therapeutics
- Sustainable biologics for agriculture, aquaculture, and animal health
- Core Infrastructure for Digital Economy
- Development of indigenous processors, chipsets, sensors
- Secure/sovereign cloud and edge computing platforms
- Decentralized data storage solutions
- Privacy-preserving digital architectures
- 5G and 6G technologies for industry, health, and rural connectivity
- Quantum-safe encryption methods and advanced cybersecurity frameworks
- Green and energy-efficient computing infrastructure
- Digital Agriculture (AgriTech)
- Smart farming systems leveraging IoT, AI, and remote sensing
- Precision irrigation and climate-smart input optimization technologies
- Agri-data and yield analytics platforms for crop forecasting
- Digital farm-to-market value chains (logistics, traceability, e-mandis)
- Drone-based solutions for crop monitoring, spraying, and land mapping
- Blockchain-based produce traceability and contract farming platforms
- Precision Agriculture & Soil Health
- Advanced soil carbon sensing (in-situ sensors, IoT probes, remote sensing)
- AI/ML-enabled analytics for soil health, land degradation neutrality, targeted interventions
- Equipment for residue management and sustainable soil incorporation
- Soil erosion prevention: conservation agriculture machinery, cover cropping, runoff control
- On-farm biomass conversion, biochar, microbial consortia, and composting for soil organic carbon enhancement
- Digital Financial Systems & Fintech
- Blockchain-based digital payment solutions and smart contracts
- Digital lending and micro-insurance platforms
- Credit scoring tools for MSMEs and financial inclusion solutions for rural/informal sectors
- Central Bank Digital Currency (CBDC) pilots and applications
- Cybersecurity and fraud detection tools for secure digital transactions
- AI-based KYC automation and regulatory compliance systems
- Alternative-Data-Based Credit Scoring Models
- Mobile-First ERP Platforms
- e-Governance & Citizen Services
- AI/ML-powered platforms for public service delivery and grievance redressal
- Scalable, interoperable systems for real-time governance
- Digital twins for urban/resource planning and optimization
- Multilingual voice/text-based citizen service platforms
- Aadhaar-enabled and mobile-first innovations for last-mile service inclusion
- Smart Contracts for Governance
- Decentralized Identity (DID) Systems
- Blockchain for Public Asset Traceability
- Energy-Efficient Blockchain Protocols
- Digital Health & Education Platforms
- Integrated digital health records and interoperable health stacks
- AI-driven telemedicine and mobile diagnostics
- Adaptive AI learning systems for personalized education
- Vernacular content platforms for digital skilling and literacy
- Immersive AR/VR/XR-based platforms for STEM and vocational education
- Data Economy & Platforms
- Development of open and federated data platforms
- Advanced tools for data anonymization, consent management, and sharing
- AI governance and responsible data use frameworks
- Creation of indigenous large language models (LLMs) and datasets in Indian languages
- Socio-economic data-driven platforms for policy modeling
- Emerging Digital Economy
- Metaverse applications for industry, culture, and education
- Digital avatars, virtual marketplaces, and creator economy platforms
- AI in legal, regulatory (RegTech), and digital judiciary systems
- Robotics and automation solutions for MSMEs and e-commerce logistics
- Digital intellectual property (IP) creation, protection, and monetization tools
- Vernacular Voice Interfaces
- Digital Public Infrastructure
- Composable Open-Source DPI Modules
- API Interoperability Protocols AI-Powered DPI Orchestration Tools
- Multi-Lingual DPI Interfaces
- Homomorphic Encryption Models
- Federated AI Algorithms
- Lightweight Privacy-Enhancing Technologies (PETs) for Mobile
In other sectors:
- Technologies whose indigenization is important for strategic reasons or for economic security and Atmanirbharta;
- Any other sector or technology deemed necessary in the public interest.
Technology Readiness Level
Make funds available to Eligible Technology Entities including startups scaling up R&D from TRL 4 onward. Assessment Link
Mode of Funding available in TDB
- Loans: Long-term financing.
- Maximum funding: 50% of fund requirement, matching contribution from company or private investors.
- Rate of Interest: @3% to 4% with 12-15years period depending on the project under RDIF.
- Disbursed in tranches based on the company’s projected use of funds and milestones achieved.
- Repayment of the loan, including interest, from the completion of the moratorium period.
Funding may also be available by way of equity participation upto 25% of assistance sought from TDB, provided such investment does not exceed the capital paid-up by the promoters. Rest 75% to be disbursed as loan. The total equity shares held by TDB should not be more than 25% of total shareholding of the company. Other features will be the same as the Loan.
In this mode, TDB will provide soft loans to eligible technology entities(ETE) without any immediate obligation for equity participation, thereby providing opportunities to validate their technologies and leverage their innovation. TDB will convert up to 20% of the sanctioned debt into equity at a pre-agreed discounted valuation (typically 5% per annum from the first disbursement, capped at 20%) when the ETE raises a follow-on round at a significantly higher valuation. The exit option for TDB will be (i) in the form of buy back by the promoters or (ii) participating in a strategic / block sale in coordination with other investors (angels/VCs etc.). Other features will be the same as the loan.
The Scheme Does Not Provide
- Grants
- Short-term loans, as these are expected to be met through commercial financing.
Quantum of Financing
- The scheme shall provide financing up to 50% of the total assessed project cost. The remaining cost must be met by the project proponent through self-financing or commercial sources. In exceptional cases or strategic sectors, this limit may be relaxed with the approval of the EGoS.
