Tim Paine admitted he let Australia's bowlers down with three dropped catches as India ground out an unlikely draw in the third Test at the SCG.

India resumed day five on 98-2 with a victory target of 407 and they appeared to be sliding towards defeat when Nathan Lyon dismissed captain Ajinkya Rahane for four.

However, Rishabh Pant gave the tourists hope of pulling off the upset with a phenomenal knock despite dealing with an elbow injury, benefiting from being put down by Paine off Lyon on three and 56.

Lyon removed Pant three runs shy of his century and after Cheteshwar Pujara (77) fell to Josh Hazlewood, heroic defence from Hanuma Vihari (23 off 161 balls) and Ravichandran Ashwin (39 off 128) after the former tweaked his hamstring saw India over the line.

Paine also spilled Vihari on 15 late in the final session when he dived to his right, with India sitting at 334-5 at stumps to keep the series level at 1-1 ahead of the fourth Test at the Gabba, which begins on Friday.

"I'm bitterly disappointed, I pride myself on my wicketkeeping," said Australia captain Paine.

"I haven't had too many worse days than that today, it's a horrible feeling knowing our fast bowlers and our spinner bowled their hearts out and gave everything to the team.

"I certainly feel I let them down. I have to wear that, but I'll get another crack at it next week so move on.

"We created enough chances to win. I wouldn't say it's deflating, I thought there was a lot of positives out of the game and it was an awesome game of Test cricket.

"India fought bloody hard like we knew they would, clearly we are disappointed not to get a win but thought there were some good signs for us after the Melbourne Test."

Rahane praised Pant for boosting India on a daunting final day and the India skipper is confident the wicketkeeper-batsman will be fit for the fourth Test.

"Yeah, credit to him [Pant]. I mean, we made the strategy, but in the end it's all about that player showing the character," Rahane said.

"It was all about a left-hand-right-hand combination in the middle that worked out really well for us. Credit to him, the way he batted, attacking innings, backed himself really well.

"Rishabh is all right. Injuries, I think, we cannot control. We are just focusing on the Brisbane Test match. [Ravindra] Jadeja, the physios are going to take the call, but apart from that, we have to see how Vihari is feeling. Looking forward to Brisbane now."