UPSC Prelims Practice Questions — PARLIAMENT QUESTION: CORPUS FUND FOR FUNDING R&D IN PRIVATE SECTOR

Q1. In the context of the Research, Development and Innovation (RDI) Scheme, the term 'Special Purpose Fund (SPF)' is best described as which one of the following?

  • A. A fund established within the Anusandhan National Research Foundation that acts as the first-tier custodian of the Scheme's corpus
  • B. A ring-fenced head within the Consolidated Fund of India from which the corpus is released to firms each year
  • C. An offshore sovereign vehicle managing India's contribution to multilateral R&D funds
  • D. A blended-finance instrument capitalised jointly by the states and private investors

Q2. With reference to the governance architecture of the RDI Scheme, consider the following statements: 1. The Department of Science and Technology is the nodal department for its implementation. 2. The Special Purpose Fund is established within the Anusandhan National Research Foundation. 3. The ANRF Governing Board that gives it strategic direction is chaired by the Prime Minister. 4. The corpus of the Scheme is to be deployed over a period of ten years. Which of the statements given above are correctly identified?

  1. The Department of Science and Technology is the nodal department for its implementation.
  2. The Special Purpose Fund is established within the Anusandhan National Research Foundation.
  3. The ANRF Governing Board that gives it strategic direction is chaired by the Prime Minister.
  4. The corpus of the Scheme is to be deployed over a period of ten years.
  • A. 1 and 2 only
  • B. 1, 2 and 3
  • C. 2, 3 and 4
  • D. 1, 3 and 4

Q3. The Anusandhan National Research Foundation (ANRF) provides strategic direction for research in specified fields. Consider the following statements about its mandate under the ANRF Act, 2023: 1. It provides strategic direction for research in natural sciences including mathematics. 2. It provides strategic direction for engineering and technology. 3. It provides strategic direction for the scientific and technological interfaces of humanities and social sciences. 4. It exercises exclusive control over all defence weapons research in the country. Which of the statements given above is/are NOT correct?

  1. It provides strategic direction for research in natural sciences including mathematics.
  2. It provides strategic direction for engineering and technology.
  3. It provides strategic direction for the scientific and technological interfaces of humanities and social sciences.
  4. It exercises exclusive control over all defence weapons research in the country.
  • A. 1 and 2
  • B. 3 only
  • C. 4 only
  • D. 2 and 4

Q4. The Anusandhan National Research Foundation functions under the administrative aegis of which one of the following?

  • A. Department of Science and Technology
  • B. Department of Scientific and Industrial Research
  • C. Department of Biotechnology
  • D. Office of the Principal Scientific Adviser

Q5. With reference to the RDI Scheme approved in 2025, the figure of ₹20,000 crore denotes which one of the following?

  • A. The amount allocated for the Scheme in the Union Budget for FY 2025-26
  • B. The entire corpus committed to the Scheme over its full duration
  • C. The minimum equity every second-level fund manager must contribute
  • D. The ceiling on the loan that may be given to any single private firm

Q6. Consider the following statements about the approval and launch of the RDI Scheme: 1. The Union Cabinet approved the Scheme on 01 July 2025. 2. The Scheme was formally launched by the Prime Minister on 03 November 2025. 3. The corpus is funded from the Consolidated Fund of India. 4. The Cabinet approval was accorded under the chairmanship of the Union Minister of Science and Technology. Which of the statements given above are correctly identified?

  1. The Union Cabinet approved the Scheme on 01 July 2025.
  2. The Scheme was formally launched by the Prime Minister on 03 November 2025.
  3. The corpus is funded from the Consolidated Fund of India.
  4. The Cabinet approval was accorded under the chairmanship of the Union Minister of Science and Technology.
  • A. 1, 2 and 3
  • B. 1 and 4 only
  • C. 2, 3 and 4
  • D. 1, 2, 3 and 4

Q7. Under the RDI Scheme's funding mechanism, the corpus is not lent directly to firms but is held and then allocated to second-level fund managers by which one of the following?

  • A. The Special Purpose Fund established within the ANRF
  • B. The Reserve Bank of India acting as banker to the Scheme
  • C. The Technology Development Board housed in the DST
  • D. The Small Industries Development Bank of India

Q8. Consider the following statements about the financing instruments under the RDI Scheme: 1. The loans extended are largely unsecured. 2. Equity-based financing may be undertaken for startups in select cases. 3. The Scheme requires that all financing be routed only as collateral-backed secured loans. 4. Contribution to a Deep Tech Fund of Funds is permissible. Which of the statements given above are correctly identified?

  1. The loans extended are largely unsecured.
  2. Equity-based financing may be undertaken for startups in select cases.
  3. The Scheme requires that all financing be routed only as collateral-backed secured loans.
  4. Contribution to a Deep Tech Fund of Funds is permissible.
  • A. 1, 2 and 4
  • B. 1, 2 and 3
  • C. 2, 3 and 4
  • D. 1 and 4 only

Q9. Consider the following statements comparing the Technology Development Board (TDB) and BIRAC: 1. TDB is a statutory body constituted under the Technology Development Board Act, 1995, whereas BIRAC is a not-for-profit Section 8 company set up by the Department of Biotechnology. 2. Both TDB and BIRAC have been designated as second-level fund managers under the RDI Scheme. 3. BIRAC functions under the Ministry of Corporate Affairs while TDB functions under the Ministry of Finance. Which of the statements given above is/are correct?

  1. TDB is a statutory body constituted under the Technology Development Board Act, 1995, whereas BIRAC is a not-for-profit Section 8 company set up by the Department of Biotechnology.
  2. Both TDB and BIRAC have been designated as second-level fund managers under the RDI Scheme.
  3. BIRAC functions under the Ministry of Corporate Affairs while TDB functions under the Ministry of Finance.
  • A. 1 only
  • B. 1 and 2 only
  • C. 2 and 3 only
  • D. 1, 2 and 3

Q10. The Technology Development Board, one of the second-level fund managers under the RDI Scheme, is a statutory body constituted under which one of the following?

  • A. The Technology Development Board Act, 1995
  • B. The Research and Development Cess Act, 1986
  • C. The Anusandhan National Research Foundation Act, 2023
  • D. The Science and Engineering Research Board Act, 2008

Q11. Official data on India's Gross Expenditure on Research and Development (GERD) are compiled and disseminated by which one of the following?

  • A. The National Science and Technology Management Information System (NSTMIS) under the Department of Science and Technology
  • B. The National Statistical Office under the Ministry of Statistics and Programme Implementation
  • C. The Reserve Bank of India in its annual national accounts
  • D. NITI Aayog through the India Innovation Index

Q12. Consider the following statements about the two-tiered architecture of the RDI Scheme: 1. At the first tier, a Special Purpose Fund within the ANRF acts as custodian of the corpus. 2. At the second tier, the fund managers include Alternative Investment Funds, Development Finance Institutions and NBFCs. 3. Focused Research Organisations such as TDB, BIRAC and IIT Research Parks act as second-level fund managers. 4. This two-tier architecture was put in place when the Scheme was approved by the Union Cabinet in July 2023. Which of the statements given above is/are NOT correct?

  1. At the first tier, a Special Purpose Fund within the ANRF acts as custodian of the corpus.
  2. At the second tier, the fund managers include Alternative Investment Funds, Development Finance Institutions and NBFCs.
  3. Focused Research Organisations such as TDB, BIRAC and IIT Research Parks act as second-level fund managers.
  4. This two-tier architecture was put in place when the Scheme was approved by the Union Cabinet in July 2023.
  • A. 1 only
  • B. 4 only
  • C. 3 and 4
  • D. 2 and 4