Cabinet approves Rs 1.27 lakh crore for Semicon Mission 2.0 – Here’s how the funding will be used

The Union Cabinet on Wednesday approved a major expansion of India’s semiconductor programme with fresh funding of Rs 1.28 lakh crore ($13.3 billion) to strengthen the country’s chip manufacturing ecosystem. The government also cleared a separate Rs 62,500 crore programme aimed at boosting mobile phone manufacturing over the next five years.

Information and Broadcasting Minister Ashwini Vaishnaw announced the decisions after the Cabinet meeting. The approvals form part of India’s broader strategy to establish itself as a global hub for electronics manufacturing and reduce dependence on imported semiconductor components.