NEW DELHI: Prime Minister Narendra Modi said on Wednesday that the Cabinet's decision on semiconductors will encourage research and innovation in the sector and also boost manufacturing, strengthening the 'Aatmanirbhar Bharat' programme.
Union Cabinet on Wednesday approved a budget of Rs 76,000 crore for designing and manufacturing semiconductor chips in India.
Union Information and Broadcasting Minister Anurag Thakur said the cabinet sanctioned Rs 76,000 crore for the ambitious project, titled Programme for Development of Semiconductors and Display Manufacturing Ecosystem, to be spent over a span of six years.
According to a statement by the government, the project will have a multiplier effect across different sectors and will help in deeper integration into the global value chain.
It would contribute significantly towards achieving USD 5 trillion economy and USD 5 trillion GDP (gross domestic product) by 2025.
Announcing the decision of the Cabinet, IT and Telecom Minister Ashwini Vaishnaw observed that electronics plays an important role in everyday life and semiconductor chips form a crucial part of it.
Modi tweeted, "Today's Cabinet decision on semi-conductors will encourage research and innovation in the sector. It will also boost manufacturing and thus strengthen the dream of an Aatmanirbhar Bharat."