Context: 

In the Budget presented recently, the Ministry of Science & Technology has received an allocation of ₹16,361.42 crore this year, on paper an impressive 15% increase from the previous estimate. However, the Ministry had seen a 3.9% decrease between 2021-­22 and 2022-­23.

Current status of spending on Research and Development

• The Gross domestic expenditure on R&D (GERD) as the percentage of gross domestic product (GDP) is around 0.7%. 
• According to a report (2020) prepared by the Department of Science and Technology (DST):
  • Out of the funding allocated to R&D in 2017-18, 61.4% of the amount went to DRDO (31.6%), Departments of Space (19%) and Atomic Energy (10.8%) together.
  • Approximately 37% was allocated to the general R&D agencies.

Need to focus on R&D:

1. R&D helps in development of new technologies, or improving the efficiency of existing processes . 
2. It would improve research outcomes and contribute to economic growth.

Impediments faced by the R&D sector

• Low Funding: According to a 2022 estimate by the Global Innovation Index, India continues to hover around 0.7% despite being among the world’s largest producers of scientific literature.
• Delay in Disbursal: There are often variations in the announcements of budget speech and actual provisions made. 

Additional Information:

News  Source: The Hindu