CIOInsider India Magazine

The government increases the budget for important technological projects by almost 84 percent to Rs 18,000 crore for the upcoming fiscal year. New projects will include the India AI Mission, IT hardware, semiconductor scheme, and production linked incentives for mobile phones.

The Ministry of Electronics and IT's overall budget has increased by approximately 48 percent to Rs 26,026.25 crore for 2025–2026 from Rs 17,566.31 crore under the current fiscal year's revised allocation.

The production-linked incentive plan for large-scale electronics manufacturing, which focuses on mobile phone manufacturing, has received the largest allocation of Rs 8,885 crore. Apple vendors Foxconn, Tata Electronics, Dixon Technologies, Lava International, and others are among the program's beneficiaries.

The revised budget of Rs 1,200 crore for the current fiscal year doubled to Rs 2,499.96 crore for semiconductor projects in 2025–2026. A total of Rs 1.52 lakh crore in investment commitments for various semiconductor projects have been given to the government. The budget has nearly quadrupled the amount allotted for the design-linked incentive plan to Rs 200 crore from Rs 105.46 crore in the amended allocation for the current fiscal year, in accordance with the Economic Survey 2024–25's finding of low research in the electronics sector.