In a significant move that could reshape India's defence research landscape, DRDO Chairman Samir V Kamat has called for a fundamental shift in how the country views research and development funding. Speaking at the Delhi Defence Dialogue 2025, the chief of India's premier defence research organization emphasized that R&D must be treated as an investment rather than an expenditure.
New Framework for Defence Innovation
The DRDO chief revealed concrete plans to introduce a dedicated chapter in the General Financial Rules (GFR) specifically designed to facilitate investments in startups, micro, small and medium enterprises (MSMEs), and large industries working on innovative defence projects. This structural change aims to create a more flexible funding environment that encourages technological breakthroughs.
Kamat stressed the urgent need for DARPA-style autonomy in India's defence research ecosystem. The Defense Advanced Research Projects Agency (DARPA) model from the United States is renowned for its ability to fund high-risk, high-reward projects without the fear of immediate accountability for failures.
Overcoming the Fear of Failure
One of the most significant barriers to innovation in India's current system is the requirement that failed projects must be accounted for before the Comptroller and Auditor General (CAG) and Parliament. This accountability framework, while important for transparency, often discourages researchers and organizations from pursuing ambitious projects with uncertain outcomes.
The new approach recognizes that not all research leads to immediate success, but even failed projects contribute valuable lessons that strengthen future defence capabilities. Kamat's vision involves creating an environment where calculated risks are encouraged rather than penalized.
Transforming India's Defence Capabilities
The proposed reforms aim to achieve multiple objectives that could significantly enhance India's defence preparedness. By speeding up technological innovation, supporting domestic startups and MSMEs, and creating a more robust defence industrial ecosystem, the new framework seeks to reduce dependency on foreign technology while boosting indigenous manufacturing.
The timing of this announcement is crucial as India continues to strengthen its position as a global defence player. With the proposed changes in the General Financial Rules, the country could see a surge in defence innovation from both established industries and emerging startups, ultimately leading to more advanced and cost-effective defence solutions developed within India.
This paradigm shift in how India approaches defence research funding represents a watershed moment in the country's journey toward self-reliance in defence technology. The success of this initiative could determine India's ability to develop cutting-edge defence systems and maintain technological superiority in the coming decades.