Quantum shift: On private industry and national research spending
For the first time in India's history, private industry accounted for 51.8% of national research spending in 2023-24, surpassing government contributions. This surge, particularly in transport, pharmaceuticals, biotechnology, and IT sectors, is partly attributed to a post-pandemic realization of research's importance for competitiveness and partly to improved reporting due to new RBI norms and sustainability disclosures. Despite this milestone, India's R&D spending remains low at 0.84% of GDP compared to global leaders. The Anusandhan National Research Foundation, with a significant corpus largely from private sources, aims to further boost research and develop specialized workers and manufacturing capacity.
For the first time in India's history, private industry accounted for 51.8% of national research spending in 2023-24, surpassing government contributions. This surge, particularly in transport, pharmaceuticals, biotechnology, and IT sectors, is partly attributed to a post-pandemic realization of research's importance for competitiveness and partly to improved reporting due to new RBI norms and sustainability disclosures. Despite this milestone, India's R&D spending remains low at 0.84% of GDP compared to global leaders. The Anusandhan National Research Foundation, with a significant corpus largely from private sources, aims to further boost research and develop specialized workers and manufacturing capacity.
Exam linkage
GS Paper 3 – Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. Science and Technology – Developments and their applications and effects in everyday life.
Syllabus mapping
This topic appears in Mains
Questions on Indian Economy come up regularly in GS papers. Practice writing an answer — and see exactly what earns marks.
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