Business
Sitharaman says India research spend is 0.83%
The Indian Express··3 Oct
Finance Minister Nirmala Sitharaman told the Kautilya Economic Conclave that raising investment and private participation is essential for innovation capacity. She said India spends 0.83 percent of GDP on R&D, less than a third of the OECD average of 2.7 percent. Of that 0.83 percent, she said the private sector share is only about a third.
Prism
What It Means For You
- Indian firms weighing larger R&D budgets now hear the finance ministry putting private capital at the centre of the next investment cycle.
- Banks non-food credit was up almost 19 percent year-on-year by end-August, a signal Sitharaman tied to private capex.
- Readers tracking GDP will note Gross Fixed Capital Formation grew 11.9 percent in April-June, lifting its GDP share to 34.3 percent.
What's Happening
- Sitharaman spoke on day one of the conclave organised by the Institute of Economic Growth and the Finance Ministry.
- She linked Kautilya treasury lessons to building resilience in calm years before shocks arrive.
- She also flagged strategic resource security and reforming multilateral development banks for faster long-term finance.
The Investment Numbers She Cited
- India GDP grew 7.8 percent in April-June, aided by sharp GFCF growth she cited in the same remarks.
- She said OECD average R&D spending is 2.7 percent of GDP against India 0.83 percent.
- She said the next stage is converting reform capacity into higher productivity, employment and opportunity toward 2047.
all-news
