India to build semiconductor ecosystem, expand chip manufacturing: PM Modi in Singapore

Prime Minister Narendra Modi is on his two-day official visit to Singapore. During his visit, PM Modi interacted with Singapore's top business leaders and invited them to collaborate in the field of technology and skill development. "India had made transformative progress in the last ten years and would continue on the same path given its strengths of political stability, policy predictability, Ease of Doing Business, and its reform oriented economic agenda. It is set to become the third largest economy in the world over the next few years," PM Modi said during the Business Leaders' summit.

PM Modi talks about semiconductors

During his conversation with the business heads, PM Modi talked about India's plans of building an extensive semiconductor ecosystem within its borders. "We are also moving aggressively in the semiconductor space, with around 50 companies already operational, and there are further possibilities ahead. We are not just focused on small developments but are working to build the entire semiconductor ecosystem," PM Modi said at the summit today.

Interestingly, his statement followed Ministry of Electronics and Information Technology signing Memorandums of Understanding (MoUs) with Singapore's Ministry of Digital Development and Information for cooperation in various sectors including semiconductor ecosystem, digital technologies and skill development.

It also follows PM Modi visiting AEM's semiconductor facility in Singapore. AEM is a Singaporean company that deals in semiconductors and electronics.

PM Modi talks about India's startup ecosystem

In addition to inviting the Singaporean leaders to collaborate in the field of electronics and semiconductors, PM Modi also pitched India's growing startup ecosystem to the leaders.

"We have implemented significant reforms in the startup ecosystem, and this year’s budget has introduced even more incentives for startups. In India, even tier-two and tier-three cities are seeing rapid startup growth," PM Modi said during his address.

"A large number of international investors are backing these ventures, and the success stories are evident, with numerous unicorns emerging from them," he added.

PM Modi mentions UPI and chip manufacturing capabilities

During his conversation, PM Modi also highlighted the achievements of India's fintech and manufacturing ecosystems. Addressing the leaders, PM Modi said that around 50 percent of world's digital transactions are taking place in India.

"Our UPI system is leading the world, with fifty percent of the world's real-time financial digital transactions taking place in India alone. This means that if you wish to expand globally in the realm of fintech, India can easily serve as your central hub," PM Modi said.

He also mentioned India's plans of expanding its chip manufacturing capabilities. "Today, we are at the forefront of chip manufacturing globally, with major companies setting up operations here. If we aim to advance further in this direction," he said.