New Delhi: The government on Tuesday said it will set up an 'Anusandhan National Research Fund' to support basic research and prototype development in universities, colleges, research institutions, and R&D laboratories.

A mechanism to spur private sector-driven research and innovation at commercial scale will also be set up with a financing pool of Rs 1 lakh crore, Union Finance Minister Nirmala Sitharaman said during her budget speech.

Sitharaman said a venture capital fund of Rs 1,000 crore will be set up expanding the space economy by five times in the next 10 years.