Business
Rs 1 lakh Crore Fund To Mitigate R&D Risks, Spur Private Investment In Cutting-Edge Technologies: Secretary DST
New Delhi: The recently launched Rs 1 lakh crore Research Development and Innovation (RDI) fund, particularly focused on India’s private sector, aims to support the private research and innovation mindset among players and mitigate the financial risks associated with it.
Speaking at a workshop organised by the Department of Science and Technology (DST) and the industry chamber FICCI, Secretary of the DST, Abhay Karandikar, has asserted that, largely, the private sector has “shied away from investing” in cutting-edge technology development, which at times requires longer gestation periods.
The DST, quoting their own estimates, noted that the gross expenditure on R&D by the private sector continues to be in the range of 30-35 per cent of their total expenditure.
“And generally, it has been seen that the private sector has shied away from investing in cutting-edge technology development, which requires longer gestation periods,” the DST Secretary Karandikar added.
Understanding the issues the private sector faces in doing R&D that has a long gestation period, the government, according to the Secretary, brought in this Rs 1 lakh crore RDI corpus.
Innovating technologies that require, let’s say, five to ten years to mature and turn into a deployable, commercialisable product tend to become difficult for private players in India.
“Such a long gestation period also entails that kind of uncertainty and we have seen that you know the industry and the private sector investments in those cutting edge R &D sectors has lacked in India, and to address that gap, therefore the government decided to (support under the RDI scheme).”
“…we want to increase the investment of the private sector R&D but then there are inherent business risks and the commercial risks that are involved and obviously therefore we will not be able to attract the private sector investment unless those commercial and business risks are mitigated,” the secretary further said, providing rationale behind the RDI scheme launch.
Among the objectives of the RDI scheme is to catalyse the private sector investment in sunrise sectors.
Prime Minister Narendra Modi on November 3 launched the Rs 1 lakh crore Research Development and Innovation (RDI) Scheme Fund, which was initially announced in the interim Budget of 2024-25. The corpus will provide long-term financing or refinancing with long tenors and low or nil interest rates, Finance Minister Nirmala Sitharaman had said, presenting the 2024-25 interim Budget on February 1, 2024. This fund, she had said, will encourage the private sector to scale up research and innovation significantly in sunrise domains.
“The government thought that we can actually become a catalyst. We can start that movement. And then, hopefully, when these initial risks are mitigated, we will be able to attract the private sector investment at growth stage or scaling…,” the DST Secretary said.
He also highlighted the fact that there are about 1500 venture capital investment firms that are putting money into our startup ecosystem, but only a few invest in R&D, particularly in the cutting-edge deep tech sectors.
“And therefore, that needs to be now catalysed. And we believe that this Rs 1 lakh crore RDI fund is a step in the direction which will, in the coming years, catalyse 10x of this investment, hopefully from the private sectors and the other investors,” the secretary said.
The RDI scheme has a total outlay of Rs 1 lakh crore over 6 years, with Rs 20,000 crore allocated for FY 2025-26, funded from the Consolidated Fund of India. It offers long-term loans with low or zero interest, equity investments, and contributions to the Deep-Tech Fund of Funds. Grants and short-term loans are not provided under this scheme, Jitendra Singh, Union Minister of State (Independent Charge) for Science and Technology, Earth Sciences informed Rajya Sabha in a written reply on July 31, 2025.
During his address, he also emphasised the importance of obtaining quality and authentic data to facilitate regulatory reforms and position India in the global innovation index.
“…it is extremely important that India’s data which we submit is not only recent but also authentic, hasquality and therefore gives a true picture of this and this is extremely important for positioning our country in the global innovation space in the geopolitical context because these kinds of indicators attract investments, these kinds of indicators are helpful for negotiating on trade policies. And these kinds of indicators also become important in terms of technology arbitrage if we want to do as a nation,” the Secretary explained.
The Department of Science and Technology serves as the nodal agency for formulating policies and promoting the scientific research, technology and innovation ecosystem in India.
Business
Does Higher Income Guarantee Faster Wealth? Can You Actually Build Money Faster By Moving To UAE? CA Explains Math
New Delhi: For many middle-class families in India, a particular notion crosses their minds every few months. If people who relocate to the UAE earn more money and if location is a key factor in wealth creation. Chartered Accountant and financial advisor Nitin Kaushik recently sparked a detailed discussion on X by breaking down the actual numbers behind this notion. At the core of his post is a compelling idea that wealth is not created by crossing borders but by crossing comfort zones. Kaushik says that no destination creates wealth and only financial behavior does so.
Kaushik explains how residents working in the UAE often highlight two genuine financial advantages. The first is a lower personal income tax which increases take-home pay. In India, a Rs 2 lakh salary taxed locally may leave Rs 1.55 to 1.6 lakh in hand whereas similar earnings abroad may result in nearly complete take-home. This is due to lower personal income tax abroad. The second factor is a larger monthly savings rate. Many people save between Rs 80,000 and Rs 1.5 lakh per month by sharing accommodation and reducing expenditure. “Same markets. Same funds. Different speeds of wealth creation,” Kaushik wrote.
In the following thread, Kaushik explains in detail how geography has little bearing on wealth creation and how savings discipline does all the magic. He claims that while earning Rs 2 to 3 lakh domestically, several professionals save less than Rs 30,000 per month due to lifestyle inflation, large EMIs and premium living costs. Building Rs 1 crore at this pace will take 15 to 18 years even with strong market returns. “The contrast is not country-based and it is cash-flow based,” Kaushik said.
Kaushik claims that increased income does not ensure faster wealth. A Rs 3 lakh earner saving Rs 1 lakh builds wealth more quickly than a Rs 5 lakh earner saving Rs 40,000. What matters is the investable surplus and not the salary figure, he said.
“Is wealth really about where you work – or what you do with what you earn?”
Every few months this thought pops up in thousands of middle-class homes:
“People who go to UAE build money faster_
Is location the secret?”The truth is more layered than that – and it deserves an_ pic.twitter.com/50uByLnd8h
— CA Nitin Kaushik (FCA) | LLB (@Finance_Bareek) December 23, 2025
According to Kaushik, when expenditure is smaller than income then investing happens almost automatically. The same financial outcome can be achieved at home with modest lifestyle control, aggressive monthly SIPs, consistency across market cycles and zero dependency on “windfall thinking”.
Kaushik said that the real wealth calculation does not consider geography. Income minus expenses becomes investable capital and investable capital multiplied by time becomes net worth. “Change any one variable and the future changes,” the CA wrote.
Kaushik said, “Wealth is not built by crossing borders. It is built by crossing comfort zones. Whether earnings come from here, there or anywhere what changes lives is the habit of paying the future first.”
According to Kaushik, moving abroad may increase savings capacity but discipline alone converts earnings into freedom. In Kaushik’s words, “No destination creates wealth. Only financial behavior does.”
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Income Tax Refund 2025: Several taxpayers on the internet have, over the past few day,s alleged that they have received an email and/ or SMS from the Income Tax Department, saying that their ITR refund has been put on hold due to ‘mismatches’ in their ITR filing.
“Processing of the said return was held as it was identified under risk management process on account of certain discrepancies in the claim of refund. An email with details has also been sent to your registered email address,” the message sent to taxpayers typically reads, according to multiple screenshots shared on social media platforms by users.
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December 24, 2025, 11:34 IST
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Business
CBDT Asks Tax Filers To Review, Revise Returns Before 31 December To Avoid Penal Consequences
New Delhi: The Central Board of Direct Taxes (CBDT) has said that it is launching the second Nonintrusive Usage of Data to Guide and Enable (NUDGE) campaign, under which SMSs and emails will be issued from 28th November 2025 to such taxpayers, advising them to review and revise their returns on or before 31st December 2025 to avoid penal consequences.
The campaign aims to facilitate correct reporting in Schedule Foreign Assets (FA) and Foreign Source Income (FSI) in ITRs. Accurate and complete disclosure of foreign assets and incomes a statutory requirement under the Income-tax Act, 1961, and the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.
Adopting a PRUDENT approach to tax administration, CBDT utilises advanced data analytics to simplify compliance processes, reduce information asymmetry and reinforce a transparent and trust- oriented interface with taxpayers. The initiative aligns with the vision of Viksit Bharat, fostering accountability, transparency and a culture of voluntary compliance.
CBDT has advised all eligible taxpayers to utilise this opportunity to ensure complete compliance with statutory reporting requirements. For further information on CRS, FATCA, Schedule FAandSchedule FSI, taxpayers may refer to the official website www.incometax.gov.in
CBDT said analysis of Automatic Exchange of Information (AEOI) information for FY 2024-25 (CY 2024) has identified high-risk cases where foreign assets appear to exist but have not been reported in the ITRs filed for AY2025- 26.
The first NUDGE campaign, launched on 17th November 2024, targeted select taxpayers who had been reported by foreign jurisdictions under the Automatic Exchange of Information (AEOI) framework as holding foreign assets that were not disclosed in their Income Tax Returns (ITRs) for AY 2024-25. The initiative yielded positive outcomes, with 24,678 taxpayers (including several not directly nudged) revisiting their returns and disclosing foreign assets amounting to Rs 29,208crore, along with foreign-source income of Rs 1,089.88 crore.
CBDT receives information relating to foreign financial assets of Indian residents from partner jurisdictions pursuant to Common Reporting Standards (CRS) and from the United States under the Foreign Account Tax Compliance Act (FATCA). This information assists in identifying potential discrepancies and guiding taxpayers towards timely and accurate compliance.
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