India’s cabinet authorised the expansion of crucial semiconductor programme with new funding of 1.28 trillion rupees, or $13.30 billion, Ashwini Vaishnaw, the information minister, announced on July 15, 2026.
As per the news from Reuters, the capital will be used to establish intellectual properties as well as chip designs, setting up more fabrication facilities and increasing research and development, the government stated in a statement.
The announcement made on July 15 pertaining to the expansion of crucial semiconductor programme by India comes almost five years after the country announced a $10 billion incentive plan in a growing push to position the nation as a worldwide electronics production centre.
India granted approval for 12 manufacturing units as well as 24 semiconductor design projects according to the 2021 incentive plan, it announced.
India’s cabinet also authorised 625 billion rupees for a five-year plan to stimulate mobile phone manufacturing in the country, Vaishnaw disclosed.
The scheme offers incentives based on eligible sales for the manufacturing of mobile phones in India at various rates ranging from 2.25% to 5%. The programme also gives a further reward of as much as 1.5% based on the domestic sourcing of vital parts.
The programme is projected to create about 60,000 direct jobs, the government announcement said.