📷 Image: Wikimedia Commons / Ministry of Overseas Indian Affairs
Business
India’s R&D Expenditure Remains at 0.84% of GDP in FY24, Says Government
✍️ Business Standard
🗓 31 Jul 2026, 07:00 AM
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The Indian government reported to Parliament that research and development spending accounted for just 0.84% of the nation's GDP in the fiscal year 2024, underscoring a lag in investment compared to global peers.
The Ministry of Science and Technology presented data to Parliament indicating that R&D expenditure in India was only 0.84% of GDP for FY24. This figure falls short of the OECD average of 2.4% and the national target of 2.5% set in 2022. Finance officials cited limited budget allocation and sluggish private sector investment as key reasons for the shortfall. The government has announced plans to raise R&D spending to 2% of GDP by 2027-28, with new incentives aimed at boosting industry participation.