Summary: India’s Technology Development Board will close its RDI funding proposal window after September 30, pausing the only active channel selecting private deep-tech beneficiaries. The official page confirms the closure, while The Indian Express reports that fresh money has not reached the board after the first selection round. The development could delay financing for companies working in space, quantum technology, robotics, artificial intelligence and other strategic sectors.
A key application channel under India’s ₹1 lakh crore Research, Development and Innovation programme is closing after September 30. The closure does not terminate the six-year scheme, but it creates uncertainty for deep-tech companies waiting for the next financing round.
What Happened
The Technology Development Board’s official RDI page says the open call for proposals, launched on February 4, 2026, will close on September 30. The page was last updated on September 29 but does not state when the call will reopen.
The Indian Express reported on September 30 that TDB had stopped inviting further applications for administrative reasons because money required for fresh offers had not reached the agency. The newspaper said a second group had been selected but letters of intent had not been issued. The Department of Science and Technology had not responded to its requests for comment.
That distinction matters: the closure is confirmed by TDB, while the explanation about unavailable funds is based on the newspaper’s reporting and has not yet been publicly confirmed by DST.
Why It Matters
The RDI scheme is intended to address the long financing cycle facing research-heavy businesses that may need years before commercial revenue. TDB offers long-tenure financing at 3% to 4%, generally covering up to 50% of a project’s assessed cost, according to its official programme page.
A pause can affect planning for startups that expected soft loans for product development, hiring, trials or manufacturing scale-up. The programme covers quantum systems, space technology, robotics, semiconductors, artificial intelligence, biotechnology, medical devices and clean-energy technologies.
Market Impact
No demonstrated share-price impact can be attributed to the closure because many potential beneficiaries are private companies and the report emerged before the September 30 market open. The immediate effect is more likely to be on financing timelines than listed-company valuations.
One first-round recipient named in the report was Agnikul Cosmos. BusinessNews1 previously covered Agnikul’s ₹200 crore backing for its reusable rocket programme.
Industry Context
A July 29 government reply said ₹1,000 crore each had been sanctioned to TDB and the Biotechnology Industry Research Assistance Council. It said ₹500 crore had been disbursed to TDB by March 2026, while TDB had approved 22 projects with ₹2,192 crore of proposed RDI support. BIRAC had shortlisted eight projects involving ₹390.35 crore.
Those figures describe sanctions, disbursement and approved project support at different stages, so they should not be treated as identical cash measures. Fresh disclosure from DST is needed to reconcile how much is presently available to TDB for new commitments.
What To Watch Next
The central questions are whether DST releases additional money, when TDB reopens its call and whether the second-round applicants receive formal letters. Companies will also watch whether BIRAC or newly approved fund managers can maintain financing activity while TDB’s proposal window is closed.
Frequently Asked Questions
What is India’s RDI scheme?
The Research, Development and Innovation scheme is a ₹1 lakh crore, six-year government programme designed to provide long-term, low-cost financing for private research and commercialisation. It targets projects at Technology Readiness Level 4 and above in areas including space, quantum technology, robotics, artificial intelligence, biotechnology and clean energy.
Why is the TDB funding window closing?
The Technology Development Board’s official page says the open call launched on February 4 will close after September 30. The Indian Express reported that TDB cited administrative reasons and had not received the money needed to extend fresh offers. The Department of Science and Technology has not publicly clarified the current funding timetable.
Has the ₹1 lakh crore scheme been cancelled?
No. The scheme itself has not been cancelled. The confirmed development is the closure of TDB’s current application window. Other second-level fund managers, including BIRAC, are part of the wider structure. Whether TDB reopens applications depends on administrative decisions, fresh allocations and clarification from the Department of Science and Technology.
