India's R&D Expenditure Trends and S&T Innovation Initiatives: DST Report 2025-26

Union Minister Dr. Jitendra Singh presented the latest Department of Science and Technology (DST) R&D Statistics 2025-26 in the Rajya Sabha on July 30, 2026. India's Gross Expenditure on Research and Development (GERD) rose significantly to ₹2,44,767.81 crore in 2023-24, representing 0.84% of GDP. Private sector R&D spending surged to ₹1,26,906.60 crore, surpassing government spending (₹1,17,861.21 crore) for the first time in recent years. Meanwhile, India’s Global Innovation Index (GII) ranking improved to 38th in 2025, supported by strategic initiatives like the ANRF, ₹1 lakh crore RDI Fund, and flagship national S&T missions.

What Happened

Union Minister of State (Independent Charge) for Science & Technology, Dr. Jitendra Singh, presented key data on India's sector-wise Research and Development (R&D) expenditure in a written reply to the Rajya Sabha on July 30, 2026. The data, sourced from the DST report titled Research & Development Statistics, 2025-26, highlights a major structural shift in funding, with private sector R&D expenditure overtaking public sector contributions in 2023-24.

When & Where

The information was officially presented on July 30, 2026, during the Monsoon Session of Parliament in the Rajya Sabha, New Delhi. The statistical coverage spans five financial years, from 2019-20 to 2023-24.

Who Is Involved

Department of Science and Technology (DST): Primary nodal department under the Ministry of Science and Technology that published the statistics.
Dr. Jitendra Singh: Union Minister of State (Independent Charge) for Science & Technology and Earth Sciences.
NITI Aayog & WIPO: NITI Aayog monitors India's performance in the Global Innovation Index released by the World Intellectual Property Organization.
Public and Private Entities: Central and State Government departments, Public Sector Undertakings (PSUs), higher education institutes, and private industrial units.

How It Works

Gross Expenditure on R&D (GERD) is compiled through periodic national S&T surveys measuring monetary inputs into scientific activities.

Government R&D Spending: Encompasses Central ministries, state S&T councils, state agricultural universities, public higher education institutions, and PSUs.
Private R&D Spending: Includes private corporate R&D units, Scientific and Industrial Research Organizations (SIROs), and private higher education institutions.
Implementation Strategy: Public capital is deployed through structured funds like ANRF and mission-mode programmes (Quantum, Cyber-Physical Systems, Semiconductors) to leverage private equity and foster academic-industry linkages.

Why It Matters

UPSC GS Paper 3 (S&T & Economy): Directly addresses R&D intensity, indigenisation of technology, and intellectual property growth.
UPSC GS Paper 2 (Governance): Relates to institutional governance in science, public-private partnerships, and policy frameworks like BioE3 and Space Policy 2023.
Economic Competitiveness: Transitioning from an input-driven to an output-driven innovation economy builds self-reliance (Atmanirbhar Bharat) in strategic sectors.

Historical Background

1958: Adoption of the Scientific Policy Resolution (SPR), laying the foundational blueprint for scientific institutions in independent India.
2003: Formulation of the Science and Technology Policy, introducing systemic emphasis on R&D funding and technological innovation.
2013: Launch of the Science, Technology and Innovation (STI) Policy, setting an explicit national goal of raising GERD to 2% of GDP.

Previous Related Events

August 2023: Parliament passed the Anusandhan National Research Foundation (ANRF) Act to seed, grow, and promote R&D across universities and colleges.
April 2023: Union Cabinet approved the National Quantum Mission with a budget of ₹6,003.65 crore spanning 2023-24 to 2030-31.
August 2024: Cabinet approved the BioE3 (Biotechnology for Economy, Environment and Employment) Policy to foster biomanufacturing and green technology.

Static GK Connection

Constitutional Provision: Article 51A(h) of the Constitution mandates every citizen to develop scientific temper, humanism, and the spirit of inquiry and reform.
Nodal Scientific Bodies: Department of Science and Technology (DST) established in May 1971 under the Ministry of Science and Technology.

India & World Comparison

India’s GERD as a percentage of GDP stands at 0.84% (2023-24). While this lags behind global leaders such as Israel (5.6%), South Korea (4.8%), and the USA (3.5%), India consistently outperforms its lower-middle-income peers. According to WIPO’s Global Innovation Index (GII) 2025, India ranks 38th globally and leads both Central and South Asia as well as the lower-middle-income group.

Future Impact

Private Capital Acceleration: The ₹1.0 lakh crore RDI Fund will unlock long-term, low-interest risk financing for corporate and startup R&D.
ANRF Mobilization: ANRF aims to mobilize over ₹36,000 crore from non-governmental and industry sources over five years.
GII Trajectory: India aims to break into the top 25 global innovation ranking through strategic S&T missions and streamlined IP ecosystem reforms.

🔑 Key Points for Revision

Gross Expenditure on R&D (GERD) in 2023-24 reached ₹2,44,767.81 crore.
GERD as a share of India's GDP stood at 0.84% in 2023-24.
Private sector R&D expenditure rose to ₹1,26,906.60 crore in 2023-24.
Government sector R&D expenditure reached ₹1,17,861.21 crore in 2023-24.
In 2019-20, GERD was ₹1,32,567.01 crore, accounting for 0.66% of GDP.
India's Global Innovation Index (GII) rank improved from 46th (2021) to 38th (2025).
The Global Innovation Index is published annually by the World Intellectual Property Organization (WIPO).
Government launched a ₹1.0 lakh crore Research, Development and Innovation (RDI) Fund.
Anusandhan National Research Foundation (ANRF) received ₹14,000 crore Central budgetary allocation.
National Quantum Mission allocation stands at ₹6,003.65 crore.
National Mission on Interdisciplinary Cyber-Physical Systems (NM-ICPS) outlay is ₹3,660 crore.
India Semiconductor Mission operates with a total outlay of ₹76,000 crore.
Enabling policies include Geospatial Policy 2022, Space Policy 2023, and BioE3 Policy 2024.
Key technology innovation programmes: NIDHI, BIRAC, iDEX, and TIDE 2.0.
India ranks 1st in innovation outputs among lower-middle-income countries and Central/South Asia.

🧠 Concept Link (Static GK Deep Dive)

Core Concept: Gross Expenditure on Research and Development (GERD)

Definition: Total actual expenditure spent on R&D performed within the national territory during a given financial year.
Constitutional / Legal Basis: Entry 63 & 64 of Union List (Seventh Schedule) covering institutions of national importance and scientific/technical education.
Scientific / Economic Principle: Endogenous Growth Theory, which posits that investments in R&D and human capital drive long-term economic growth.
How it connects to this event: DST released the official 5-year GERD trajectory showing private spending outpacing public spending.
Origin & History: Official R&D tracking in India began after the establishment of the DST in 1971.
Key milestone 1: Science and Technology Policy 2003, which aimed to boost national R&D investments to 2% of GDP.
Key milestone 2: Passage of the ANRF Act in 2023 to structurally overhaul research funding mechanisms across Indian academia.
Related Acts / Schemes / Treaties: ANRF Act 2023, National Quantum Mission, and WIPO TRIPS framework.
Nodal Ministry / Body: Department of Science and Technology (DST), Ministry of Science and Technology.
India-specific relevance: Essential for moving India up the global value chain and achieving a $5 trillion economy.
Global Comparison: Israel (5.6%) and South Korea (4.8%) spend the highest percentage of GDP on GERD globally.
Data point: India's GERD increased from ₹1,32,567.01 crore (2019-20) to ₹2,44,767.81 crore (2023-24).
Common exam angle: UPSC asks about GERD as % of GDP, private vs public share, and GII rankings.
Easy memory hook: GERD = "Government + Private Equity for Research Growth".

❓ Practice MCQs

Q1. What was India's Gross Expenditure on Research and Development (GERD) as a percentage of GDP in 2023-24? [Easy]

A) 0.64%

B) 0.66%

C) 0.82%

D) 0.84%

Answer: D

Explanation: As per the DST R&D Statistics 2025-26, GERD as a percentage of GDP reached 0.84% in 2023-24.

Q2. Which international organisation publishes the Global Innovation Index (GII)? [Easy]

A) World Bank

B) World Economic Forum

C) World Intellectual Property Organization

D) International Monetary Fund

Answer: C

Explanation: The Global Innovation Index (GII) is published annually by the World Intellectual Property Organization (WIPO).

Q3. According to the DST R&D Statistics 2025-26, what was the total Private Sector expenditure on R&D in India during 2023-24? [Moderate]

A) ₹88,677.51 crore

B) ₹1,02,428.35 crore

C) ₹1,17,861.21 crore

D) ₹1,26,906.60 crore

Answer: D

Explanation: Private sector R&D expenditure in 2023-24 stood at ₹1,26,906.60 crore, surpassing the government sector spend.

Q4. What is the approved total budget outlay for the National Quantum Mission launched by the Government of India? [Moderate]

A) ₹3,660.00 crore

B) ₹6,003.65 crore

C) ₹14,000.00 crore

D) ₹76,000.00 crore

Answer: B

Explanation: The National Quantum Mission has been allocated an approved total budget outlay of ₹6,003.65 crore.

Q5. India's rank in the Global Innovation Index (GII) improved to which position in 2025? [Moderate]

A) 46th

B) 40th

C) 38th

D) 35th

Answer: C

Explanation: India's Global Innovation Index rank improved from 46th in 2021 to 38th in 2025.

Q6. Consider the following statements regarding R&D expenditure trends in India between 2019-20 and 2023-24:

1. GERD as a percentage of GDP consistently decreased every year over the five-year period.
2. Private sector R&D expenditure surpassed government sector expenditure in 2023-24. [Tricky]

A) 1 only

B) 2 only

C) Both 1 and 2

D) Neither 1 nor 2

Answer: B

Explanation: Statement 1 is incorrect because GERD percentage grew from 0.66% in 2019-20 to 0.84% in 2023-24 (dipping in 2020-21 to 0.64% before rising). Statement 2 is correct as private spending reached ₹1,26,906.60 crore vs public spending of ₹1,17,861.21 crore.

Q7. Which of the following initiatives has been launched with a financial provision of ₹1.0 lakh crore to support private-sector-led high-risk R&D? [Tricky]

A) Anusandhan National Research Foundation Fund

B) Research, Development and Innovation (RDI) Fund

C) India Semiconductor Innovation Fund

D) Technology Incubation and Development Fund

Answer: B

Explanation: The Government launched the ₹1.0 lakh crore Research, Development and Innovation (RDI) Fund specifically to catalyze private-sector-led high-risk strategic research.

Q8. What does India's higher ranking in innovation outputs compared to innovation inputs in the Global Innovation Index signify? [Tricky]

A) High innovation efficiency in converting resources into tangible outputs

B) Excess capital expenditure on scientific research infrastructure

C) Over-reliance on foreign technology transfers and imports

D) Low return on private industrial research investments

Answer: A

Explanation: Performing better in innovation outputs than inputs indicates high innovation efficiency, meaning India effectively converts available resources into tangible outputs.

📜 Previous Year Question Style (PYQ)

PYQ 1:

With reference to India's R&D expenditure, which department brings out the official "Research & Development Statistics" report?

A) Department of Scientific and Industrial Research (DSIR)

B) Department of Science and Technology (DST)

C) NITI Aayog

D) Ministry of Commerce and Industry

Answer: B

Explanation: The Department of Science and Technology (DST) under the Ministry of Science and Technology periodically publishes the national R&D statistics.

PYQ 2:

Consider the following statements regarding the Anusandhan National Research Foundation (ANRF):

1. It was established to seed, grow, and promote research and development across India's universities and colleges.
2. Central Government provided a budgetary provision of ₹14,000 crore for its establishment.
3. It relies exclusively on Central Government funds without mobilizing funds from non-governmental sources.

Which of the statements given above are correct?

A) 1 and 2 only

B) 2 and 3 only

C) 1 and 3 only

D) 1, 2 and 3

Answer: A

Explanation: Statements 1 and 2 are correct. Statement 3 is incorrect because ANRF is designed to mobilize substantial additional funding from non-governmental and industry sources.

PYQ 3:

Match List-I (National Mission / Initiative) with List-II (Budget Outlay / Allocation):

List-I

a. National Quantum Mission b. National Mission on Interdisciplinary Cyber-Physical Systems c. India Semiconductor Mission d. Central Govt provision for ANRF

List-II

1. ₹76,000 crore
2. ₹14,000 crore
3. ₹6,003.65 crore
4. ₹3,660 crore

Select the correct answer using the code given below:

A) a-3, b-4, c-1, d-2

B) a-4, b-3, c-1, d-2

C) a-3, b-4, c-2, d-1

D) a-1, b-2, c-3, d-4

Answer: A

Explanation: Quantum Mission = ₹6,003.65 crore (3); Cyber-Physical Systems = ₹3,660 crore (4); Semiconductor Mission = ₹76,000 crore (1); ANRF Central provision = ₹14,000 crore (2).

✍️ Mains Answer Pointers

Question 1 (150 words): Analyze the changing dynamics of public versus private sector contribution to Gross Expenditure on Research and Development (GERD) in India.

The dynamics of India's Gross Expenditure on Research and Development (GERD) are undergoing a structural shift. According to the DST report Research & Development Statistics, 2025-26, total GERD expanded to ₹2,44,767.81 crore (0.84% of GDP) in 2023-24. Crucially, private sector R&D expenditure reached ₹1,26,906.60 crore, surpassing the government sector spend of ₹1,17,861.21 crore for the first time in recent history.

Historically, India’s R&D ecosystem was heavily reliant on public funding, which accounted for over 60% of total expenditure. The recent surge in private participation reflects positive outcomes from policy interventions, such as the ₹1.0 lakh crore RDI Fund, BioE3 Policy 2024, and Space Policy 2023. This transition brings India closer to developed-economy models where private industry drives market-led technological innovations.

To sustain this momentum, India must strengthen industry-academia linkages through the Anusandhan National Research Foundation (ANRF) and offer targeted tax incentives for high-risk strategic innovation.

Question 2 (250 words): Discuss the major policy initiatives undertaken by the Government of India to enhance national R&D capabilities. How do these initiatives support India's performance in global innovation rankings?

To transform India into a global knowledge economy, the Government of India has instituted systemic policy and financial reforms to boost Research and Development (R&D). The latest Department of Science and Technology (DST) data highlights that Gross Expenditure on R&D (GERD) grew from ₹1,32,567.01 crore in 2019-20 to ₹2,44,767.81 crore in 2023-24, increasing GERD intensity from 0.66% to 0.84% of GDP.

Key legislative and financial initiatives driving this growth include:

1. Institutional Re-engineering: The establishment of the Anusandhan National Research Foundation (ANRF) with a ₹14,000 crore Central provision to democratize university research funding.
2. Private Capital Catalysts: A dedicated ₹1.0 lakh crore Research, Development and Innovation (RDI) Fund providing long-term, low-cost financing for private high-risk technology development.
3. Mission-Mode Technologies: Strategic flagship initiatives including the India Semiconductor Mission (₹76,000 crore), National Quantum Mission (₹6,003.65 crore), and NM-ICPS (₹3,660 crore).
4. Sectoral Deregulation: Progressive frameworks like the Geospatial Policy 2022, Space Policy 2023, and BioE3 Policy 2024 opening state-held sectors to private commercialization.

These comprehensive measures directly impact India’s international standing. In WIPO’s Global Innovation Index (GII) 2025, India improved its rank to 38th (up from 46th in 2021). Notably, India excels in converting innovation inputs into high-value outputs, leading the lower-middle-income group.

To break into the top 25 GII ranking, India must continue scaling GERD toward 1.5–2% of GDP, streamline patent examination timelines, and deepen private sector investment in foundational science.

⚠️ Examiner Trap

Trap 1: Students often confuse Gross Expenditure on R&D (GERD) total amount with GERD as a percentage of GDP. While total expenditure grew from ₹1.32 lakh crore to ₹2.45 lakh crore, GERD as a percentage of GDP stands at 0.84% (not 2% or 1.5%).
Trap 2: A common wrong assumption is that government sector R&D spending still exceeds private spending in India. The reality in 2023-24 is that private sector spending (₹1,26,906.60 crore) surpassed government spending (₹1,17,861.21 crore).
Trap 3: Many students miss which agency publishes the Global Innovation Index (GII), often confusing WIPO with the World Economic Forum or WEF. Always remember that GII is published by the World Intellectual Property Organization (WIPO), while NITI Aayog monitors India's performance internally.

🧭 Exam Tip

Prelims Angle: Focus on exact figures, financial allocations of missions (Quantum: ₹6,003.65 Cr; Semiconductor: ₹76,000 Cr; ANRF: ₹14,000 Cr), publishing bodies (DST, WIPO), and India's GII rank (38th in 2025).
Mains Angle: Focus on structural dynamics—the public vs. private shift in GERD, innovation efficiency (outputs vs. inputs), and policy frameworks (ANRF, BioE3, Space Policy).
Interview Angle: Be prepared to discuss why India spends less than 1% of GDP on R&D compared to 4-5% in South Korea/Israel, and how the private sector can be incentivized further.
High-Probability Prediction: A direct statement-based question comparing public and private R&D spending trends or ANRF funding structure is highly likely in the upcoming exam cycle.

India's R&D Expenditure Trends and S&T Innovation Initiatives: DST Report 2025-26

What Happened

When & Where

Who Is Involved

Department of Science and Technology (DST): Primary nodal department under the Ministry of Science and Technology that published the statistics.
Dr. Jitendra Singh: Union Minister of State (Independent Charge) for Science & Technology and Earth Sciences.
NITI Aayog & WIPO: NITI Aayog monitors India's performance in the Global Innovation Index released by the World Intellectual Property Organization.
Public and Private Entities: Central and State Government departments, Public Sector Undertakings (PSUs), higher education institutes, and private industrial units.

How It Works

Gross Expenditure on R&D (GERD) is compiled through periodic national S&T surveys measuring monetary inputs into scientific activities.

Government R&D Spending: Encompasses Central ministries, state S&T councils, state agricultural universities, public higher education institutions, and PSUs.
Private R&D Spending: Includes private corporate R&D units, Scientific and Industrial Research Organizations (SIROs), and private higher education institutions.
Implementation Strategy: Public capital is deployed through structured funds like ANRF and mission-mode programmes (Quantum, Cyber-Physical Systems, Semiconductors) to leverage private equity and foster academic-industry linkages.

Why It Matters

UPSC GS Paper 3 (S&T & Economy): Directly addresses R&D intensity, indigenisation of technology, and intellectual property growth.
UPSC GS Paper 2 (Governance): Relates to institutional governance in science, public-private partnerships, and policy frameworks like BioE3 and Space Policy 2023.
Economic Competitiveness: Transitioning from an input-driven to an output-driven innovation economy builds self-reliance (Atmanirbhar Bharat) in strategic sectors.

Historical Background

1958: Adoption of the Scientific Policy Resolution (SPR), laying the foundational blueprint for scientific institutions in independent India.
2003: Formulation of the Science and Technology Policy, introducing systemic emphasis on R&D funding and technological innovation.
2013: Launch of the Science, Technology and Innovation (STI) Policy, setting an explicit national goal of raising GERD to 2% of GDP.

Previous Related Events

August 2023: Parliament passed the Anusandhan National Research Foundation (ANRF) Act to seed, grow, and promote R&D across universities and colleges.
April 2023: Union Cabinet approved the National Quantum Mission with a budget of ₹6,003.65 crore spanning 2023-24 to 2030-31.
August 2024: Cabinet approved the BioE3 (Biotechnology for Economy, Environment and Employment) Policy to foster biomanufacturing and green technology.

Static GK Connection

Constitutional Provision: Article 51A(h) of the Constitution mandates every citizen to develop scientific temper, humanism, and the spirit of inquiry and reform.
Nodal Scientific Bodies: Department of Science and Technology (DST) established in May 1971 under the Ministry of Science and Technology.

India & World Comparison

Future Impact

Private Capital Acceleration: The ₹1.0 lakh crore RDI Fund will unlock long-term, low-interest risk financing for corporate and startup R&D.
ANRF Mobilization: ANRF aims to mobilize over ₹36,000 crore from non-governmental and industry sources over five years.
GII Trajectory: India aims to break into the top 25 global innovation ranking through strategic S&T missions and streamlined IP ecosystem reforms.

🔑 Key Points for Revision

Gross Expenditure on R&D (GERD) in 2023-24 reached ₹2,44,767.81 crore.
GERD as a share of India's GDP stood at 0.84% in 2023-24.
Private sector R&D expenditure rose to ₹1,26,906.60 crore in 2023-24.
Government sector R&D expenditure reached ₹1,17,861.21 crore in 2023-24.
In 2019-20, GERD was ₹1,32,567.01 crore, accounting for 0.66% of GDP.
India's Global Innovation Index (GII) rank improved from 46th (2021) to 38th (2025).
The Global Innovation Index is published annually by the World Intellectual Property Organization (WIPO).
Government launched a ₹1.0 lakh crore Research, Development and Innovation (RDI) Fund.
Anusandhan National Research Foundation (ANRF) received ₹14,000 crore Central budgetary allocation.
National Quantum Mission allocation stands at ₹6,003.65 crore.
National Mission on Interdisciplinary Cyber-Physical Systems (NM-ICPS) outlay is ₹3,660 crore.
India Semiconductor Mission operates with a total outlay of ₹76,000 crore.
Enabling policies include Geospatial Policy 2022, Space Policy 2023, and BioE3 Policy 2024.
Key technology innovation programmes: NIDHI, BIRAC, iDEX, and TIDE 2.0.
India ranks 1st in innovation outputs among lower-middle-income countries and Central/South Asia.

🧠 Concept Link (Static GK Deep Dive)

Core Concept: Gross Expenditure on Research and Development (GERD)

Definition: Total actual expenditure spent on R&D performed within the national territory during a given financial year.
Constitutional / Legal Basis: Entry 63 & 64 of Union List (Seventh Schedule) covering institutions of national importance and scientific/technical education.
Scientific / Economic Principle: Endogenous Growth Theory, which posits that investments in R&D and human capital drive long-term economic growth.
How it connects to this event: DST released the official 5-year GERD trajectory showing private spending outpacing public spending.
Origin & History: Official R&D tracking in India began after the establishment of the DST in 1971.
Key milestone 1: Science and Technology Policy 2003, which aimed to boost national R&D investments to 2% of GDP.
Key milestone 2: Passage of the ANRF Act in 2023 to structurally overhaul research funding mechanisms across Indian academia.
Related Acts / Schemes / Treaties: ANRF Act 2023, National Quantum Mission, and WIPO TRIPS framework.
Nodal Ministry / Body: Department of Science and Technology (DST), Ministry of Science and Technology.
India-specific relevance: Essential for moving India up the global value chain and achieving a $5 trillion economy.
Global Comparison: Israel (5.6%) and South Korea (4.8%) spend the highest percentage of GDP on GERD globally.
Data point: India's GERD increased from ₹1,32,567.01 crore (2019-20) to ₹2,44,767.81 crore (2023-24).
Common exam angle: UPSC asks about GERD as % of GDP, private vs public share, and GII rankings.
Easy memory hook: GERD = "Government + Private Equity for Research Growth".

❓ Practice MCQs

Q1. What was India's Gross Expenditure on Research and Development (GERD) as a percentage of GDP in 2023-24? [Easy]

A) 0.64%

B) 0.66%

C) 0.82%

D) 0.84%

Answer: D

Explanation: As per the DST R&D Statistics 2025-26, GERD as a percentage of GDP reached 0.84% in 2023-24.

Q2. Which international organisation publishes the Global Innovation Index (GII)? [Easy]

A) World Bank

B) World Economic Forum

C) World Intellectual Property Organization

D) International Monetary Fund

Answer: C

Explanation: The Global Innovation Index (GII) is published annually by the World Intellectual Property Organization (WIPO).

Q3. According to the DST R&D Statistics 2025-26, what was the total Private Sector expenditure on R&D in India during 2023-24? [Moderate]

A) ₹88,677.51 crore

B) ₹1,02,428.35 crore

C) ₹1,17,861.21 crore

D) ₹1,26,906.60 crore

Answer: D

Explanation: Private sector R&D expenditure in 2023-24 stood at ₹1,26,906.60 crore, surpassing the government sector spend.

Q4. What is the approved total budget outlay for the National Quantum Mission launched by the Government of India? [Moderate]

A) ₹3,660.00 crore

B) ₹6,003.65 crore

C) ₹14,000.00 crore

D) ₹76,000.00 crore

Answer: B

Explanation: The National Quantum Mission has been allocated an approved total budget outlay of ₹6,003.65 crore.

Q5. India's rank in the Global Innovation Index (GII) improved to which position in 2025? [Moderate]

A) 46th

B) 40th

C) 38th

D) 35th

Answer: C

Explanation: India's Global Innovation Index rank improved from 46th in 2021 to 38th in 2025.

Q6. Consider the following statements regarding R&D expenditure trends in India between 2019-20 and 2023-24:

1. GERD as a percentage of GDP consistently decreased every year over the five-year period.
2. Private sector R&D expenditure surpassed government sector expenditure in 2023-24. [Tricky]

A) 1 only

B) 2 only

C) Both 1 and 2

D) Neither 1 nor 2

Answer: B

Q7. Which of the following initiatives has been launched with a financial provision of ₹1.0 lakh crore to support private-sector-led high-risk R&D? [Tricky]

A) Anusandhan National Research Foundation Fund

B) Research, Development and Innovation (RDI) Fund

C) India Semiconductor Innovation Fund

D) Technology Incubation and Development Fund

Answer: B

Explanation: The Government launched the ₹1.0 lakh crore Research, Development and Innovation (RDI) Fund specifically to catalyze private-sector-led high-risk strategic research.

Q8. What does India's higher ranking in innovation outputs compared to innovation inputs in the Global Innovation Index signify? [Tricky]

A) High innovation efficiency in converting resources into tangible outputs

B) Excess capital expenditure on scientific research infrastructure

C) Over-reliance on foreign technology transfers and imports

D) Low return on private industrial research investments

Answer: A

Explanation: Performing better in innovation outputs than inputs indicates high innovation efficiency, meaning India effectively converts available resources into tangible outputs.

📜 Previous Year Question Style (PYQ)

PYQ 1:

With reference to India's R&D expenditure, which department brings out the official "Research & Development Statistics" report?

A) Department of Scientific and Industrial Research (DSIR)

B) Department of Science and Technology (DST)

C) NITI Aayog

D) Ministry of Commerce and Industry

Answer: B

Explanation: The Department of Science and Technology (DST) under the Ministry of Science and Technology periodically publishes the national R&D statistics.

PYQ 2:

Consider the following statements regarding the Anusandhan National Research Foundation (ANRF):

Which of the statements given above are correct?

A) 1 and 2 only

B) 2 and 3 only

C) 1 and 3 only

D) 1, 2 and 3

Answer: A

Explanation: Statements 1 and 2 are correct. Statement 3 is incorrect because ANRF is designed to mobilize substantial additional funding from non-governmental and industry sources.

PYQ 3:

Match List-I (National Mission / Initiative) with List-II (Budget Outlay / Allocation):

List-I

a. National Quantum Mission b. National Mission on Interdisciplinary Cyber-Physical Systems c. India Semiconductor Mission d. Central Govt provision for ANRF

List-II

1. ₹76,000 crore
2. ₹14,000 crore
3. ₹6,003.65 crore
4. ₹3,660 crore

Select the correct answer using the code given below:

A) a-3, b-4, c-1, d-2

B) a-4, b-3, c-1, d-2

C) a-3, b-4, c-2, d-1

D) a-1, b-2, c-3, d-4

Answer: A

Explanation: Quantum Mission = ₹6,003.65 crore (3); Cyber-Physical Systems = ₹3,660 crore (4); Semiconductor Mission = ₹76,000 crore (1); ANRF Central provision = ₹14,000 crore (2).

✍️ Mains Answer Pointers

Question 1 (150 words): Analyze the changing dynamics of public versus private sector contribution to Gross Expenditure on Research and Development (GERD) in India.

Key legislative and financial initiatives driving this growth include:

To break into the top 25 GII ranking, India must continue scaling GERD toward 1.5–2% of GDP, streamline patent examination timelines, and deepen private sector investment in foundational science.

⚠️ Examiner Trap

Trap 1: Students often confuse Gross Expenditure on R&D (GERD) total amount with GERD as a percentage of GDP. While total expenditure grew from ₹1.32 lakh crore to ₹2.45 lakh crore, GERD as a percentage of GDP stands at 0.84% (not 2% or 1.5%).
Trap 2: A common wrong assumption is that government sector R&D spending still exceeds private spending in India. The reality in 2023-24 is that private sector spending (₹1,26,906.60 crore) surpassed government spending (₹1,17,861.21 crore).
Trap 3: Many students miss which agency publishes the Global Innovation Index (GII), often confusing WIPO with the World Economic Forum or WEF. Always remember that GII is published by the World Intellectual Property Organization (WIPO), while NITI Aayog monitors India's performance internally.

🧭 Exam Tip

Prelims Angle: Focus on exact figures, financial allocations of missions (Quantum: ₹6,003.65 Cr; Semiconductor: ₹76,000 Cr; ANRF: ₹14,000 Cr), publishing bodies (DST, WIPO), and India's GII rank (38th in 2025).
Mains Angle: Focus on structural dynamics—the public vs. private shift in GERD, innovation efficiency (outputs vs. inputs), and policy frameworks (ANRF, BioE3, Space Policy).
Interview Angle: Be prepared to discuss why India spends less than 1% of GDP on R&D compared to 4-5% in South Korea/Israel, and how the private sector can be incentivized further.
High-Probability Prediction: A direct statement-based question comparing public and private R&D spending trends or ANRF funding structure is highly likely in the upcoming exam cycle.