The Research, Development and Innovation Scheme, announced in the 2025-26 Union Budget with an outlay of ?1 lakh crore, aims to create dedicated financing and equity support mechanisms, including through a targeted deep-tech investment fund. The budget sought to strengthen the research ecosystem and support innovation by continuing support to the National Quantum Mission and the National Supercomputing Mission. It also maintained support for manufacturing-linked incentives and for strategic technologies such as semiconductors. What ails private R&D Despite these measures, India’s private sector remains hesitant to invest in R&D. This is understandable, as the domestic market often fails to reward…