PN heterojunctions comprising layered van der Waals (vdW) semiconductors have been used to demonstrate current rectifiers, photodetectors, and photovoltaic devices. However, a direct or neardirect bandgap at the heterointerface that can significantly enhance optical generation, for high light absorbing few/multi-layer vdW materials, has not yet been shown. In this work, for the first time, few-layer group-6 transition metal dichalcogenide (TMD) WSe2 is shown to form a sizeable (0.7 eV) near-direct bandgap with type-II band alignment at its interface with the group-7 TMD ReS2 through density functional theory calculations. Further, the type-II alignment and photogeneration across the interlayer bandgap have been experimentally confirmed through micro-photoluminescence and IR 2 photodetection measurements, respectively. High optical absorption in few-layer flakes, large conduction and valence band offsets for efficient electron-hole separation and stacking of light facing, direct bandgap ReS2 on top of gate tunable WSe2 are shown to result in excellent and tunable photodetection as well as photovoltaic performance through flake thickness dependent optoelectronic measurements. Few-layer flakes demonstrate ultrafast response time (5 µs) at high responsivity (3 A/W) and large photocurrent generation and responsivity enhancement at the heterostructure overlap region (10-100×) for 532 nm laser illumination. Large open circuit voltage of 0.64 V and short circuit current of 2.6 µA enables high output electrical power. Finally, long term air-stability and a facile single contact metal fabrication process makes the multi-functional few-layer WSe2/ReS2 heterostructure diode technologically promising for next-generation optoelectronic applications.The semiconducting group-6 TMD WSe2, generally found in trigonal prismatic phase, 17 is an indirect bandgap material in its bulk form. 18,19 However, group-7 TMD e.g. 1T phase of ReS2 is distorted octahedral in structure 17,20 and exhibits direct (or, near-direct) bandgap at (or, close to) the Γ point of the Brillouin zone (BZ). Interestingly, unlike the group-6 TMDs, ReS2 exhibits a unique property owing to its distorted structure and weak interlayer coupling-the direct or near-direct nature of its bandgap remains unchanged from monolayer to bulk. [20][21][22] Closer examination of the bandstructure of group-7 TMDs reveals that the conduction band minimum of ReS2 remains at the Γ point, irrespective of the number of layers. 20,23 But for group-6 TMDs (such as WSe2) the valence band maximum relocates from K to Γ point of the BZ with increasing number of layers. 18,24 It is important to note that the valence band maximum at the Γ point differs in energy only slightly from that at the K point. 18 This gives rise to an increased probability of direct as well as indirect transitions from the Γ and the K valence maxima of WSe2 to the Γ conduction minimum of ReS2 respectively, for a predicted type-II band alignment. The possibility of a direct bandgap transition is not observed in a heter...