Research investment trends in India

Notes

• India's R&D expenditure reached 0.83% of GDP in 2021-22, crossing the 0.8% threshold for the first time since 2009-10.
• Projected R&D expenditure is expected to approach 0.9% of GDP by 2025-26.
• Structural shift: Private industry contribution to national R&D spending rose from 45.5% in 2021-22 to 51.8% in 2023-24, surpassing government spending.
• Top industrial R&D contributors in 2023-24: Transportation (₹39,137 cr), Pharmaceuticals (₹25,847 cr), Biotechnology (₹10,321 cr), IT (₹9,587 cr), and Electrical/Electronics (₹6,779 cr).
• Concentration of investment: 90% of private R&D investment comes from approximately 500 companies out of 8,000 in the DST database.
• Workforce shift: Private industry now employs more full-time equivalent (FTE) R&D personnel than the public sector, reversing the trend observed in 2017-18.
• Drivers of growth: Post-COVID realization of the criticality of R&D for future competitiveness and stricter RBI requirements for transparent R&D disclosure.
• Data source: Department of Science and Technology (DST) Research and Development Statistics 2025-26.

Part of a longer story

This is day 2 of 3 in Trends in India's Research and Development Expenditure, which has been running since 30 July 2026. Reading it whole is usually worth more than reading today alone — the exam asks how something developed.

• India's R&D spending trends Before
• DST report on private-sector R&D investment After
• The whole story 3 entries