The Union budget for the current fiscal emphasised building and promoting a robust research and development (R&D) ecosystem in the country. Amid announcements such as funds for deep tech and a ₹20,000-crore corpus for private sector R&D, the finance minister had also announced 10,000 fellowships under the Prime Minister Research Fellowship (PMRF) over the next five years, with an allocation of ₹600 crore.

PMRF aims to retain talent in India and has the potential to make a significant impact. But it remains straitjacketed by rigid implementation controls. By involving industries in funding research spearheaded by government labs and PSUs and ensuring balanced institutional support, PMRF can become more effective. Integrating it into the Anusandhan National Research Foundation (ANRF) could enhance its impact and strengthen the ecosystem.

The Union budget for the current fiscal emphasised building and promoting a robust research and development (R&D) ecosystem in the country. Amid announcements such as funds for deep tech and a ₹20,000-crore corpus for private sector R&D, the finance minister had also announced 10,000 fellowships under the Prime Minister Research Fellowship (PMRF) over the next five years, with an allocation of ₹600 crore.

PMRF aims to retain talent in India and has the potential to make a significant impact. But it remains straitjacketed by rigid implementation controls. By involving industries in funding research spearheaded by government labs and PSUs and ensuring balanced institutional support, PMRF can become more effective. Integrating it into the Anusandhan National Research Foundation (ANRF) could enhance its impact and strengthen the ecosystem.

Introduced in the 2018-19 budget, PMRF was designed to support 1,000 outstanding engineering graduates financially and institutionally to pursue PhDs and undertake quality research. The fellowship offered a monthly stipend of ₹70,000–80,000 and a research grant of up to ₹2 lakh per year. Candidates qualify through direct entry after their bachelor’s degree or lateral entry while enrolled in a PhD programme. In 2024, around 1.3 million students moved abroad for higher studies, pursuing graduate/postgraduate studies, PhDs, and postdoctoral research. The primary attraction for most is the quality of education and job prospects, Canada, the US, and the UK being the top three destinations. The PhD stipend abroad is in the range of $15,000-30,000 annually, depending on the university, location, and field of study. This financial benefit attracts researchers abroad, leading to a brain drain.

PMRF was introduced to address brain drain, among other things, by retaining top talent in India through financial support for PhDs in Indian institutes like the IITs, IISERs, and IISc. As of March 2025, the fellowship supports 2,253 active fellows, with 1,435 having completed their PhD in the last six years. Despite doubling annual fellowships to 2,000, PMRF still accounts for only 3% of PhDs in science, engineering, and technology. In 2019-20, over 75,000 enrolled in PhD programmes, implying 97% received half the stipend as PMRF fellows, creating funding disparity in research labs.

Eligibility is restricted to PhD candidates in IITs, IISc, IISERs, NITs, and central universities within the top 25 ranked public institutions. The fellowship excludes state and private universities ranked among the top 25 by the National Institutional Ranking Framework in overall or engineering ranking. Expanding the fellowship’s reach is crucial for developing India’s research ecosystem. Retaining talent is just one facet; adequate infrastructures and reduced non-research workloads are equally essential. As a developing nation, India must optimise its resources and, therefore, needs to optimise the PMRF programme.

There is no similar provision at the postdoctoral level. Postdoctoral salaries in IITs and IISc range ₹6-14 lakh per annum; in the US, it ranges $45,000-66,000, four to six times higher. It is likely that PhD-holders opt for postdoctoral positions abroad, shifting the brain drain to a later research stage instead of resolving it.

PMRF’s limited funding reach can be addressed by involving industry. As an extension to PMRF, industry can co-fund research aligning with its interests. Incentives like tax exemptions and intellectual property (IP) ownership should be explored. Matching the industry grants with the PMRF funds could increase industry participation. This will reduce the financial burden on the government while ensuring real-world applications. With limited R&D investment by private industry in India, public research labs like the Defence Research and Development Organisation and the Council for Scientific and Industrial Research (CSIR) and PSUs such as Hindustan Aeronautics Limited and Bharat Electronics Limited can outsource research to academia, providing infrastructure support and setting examples for private firms.

The government should look beyond IISc and IITs for engineering and technology excellence. IISc and IITs are at their peak and are apex contributors to India’s R&D and innovation ecosystem. IISc has a budgetary support of ₹900 crore and the IITs ₹11,349 crore, which is 33% more than the budget for IISERs, NITs, IIITs, and IIEST combined. A balanced approach is needed to develop the ecosystem. PMRF should include state and private universities ranked among the top institutions.

The PMRF should be integrated into the ANRF to optimise resources and maximum long-term impact. This can streamline funding, reduce administrative redundancy, and foster interdisciplinary research collaboration.

PMRF has significant potential, but limited reach. A holistic approach — including better infrastructure, balanced funding, and policy reforms — is essential to strengthening India’s research ecosystem and retaining talent.

Avinash Shet is research analyst, Takshashila Institute. The views expressed are personal