As India grew richer, the newer generation of liberal arts colleges (eg. Ashoka) and humanities programs in public universities (eg. IIT Delhi, IIT Kanpur, IIT Hyderabad, JNU) started attracting and hiring Western educated faculty and researchers (Indian as well as Foreigners) to help revitalize interest in humanities and social sciences.
India also now has a new generation philanthropists who are starting to donate to this kind of research (eg. Murthy and the "Murty Classical Library of India" at Harvard).
There is a similar revitalization for older texts in Tamizh, Telugu, Koshur, Pahari, Tibetan, etc as well.