India pushes to strengthen strategic industries, spotlighting semiconductor self-reliance

At a banking and economics summit, Economic Affairs Secretary Anuradha Thakur warned that India must build strategic capacity in sectors such as semiconductors to shield its economy from an unpredictable global climate. She noted that the government is already taking proactive steps to nurture emerging industries and reduce reliance on external supply chains. The comments came after the OECD, Asian Development Bank, S&P Global, Fitch Ratings and Moody’s raised their growth forecasts for the fiscal year ending March, citing strong domestic demand and limited impact from regional conflicts.

RBI Deputy Governor Poonam Gupta highlighted the economy’s robust 7.8% GDP growth in the June quarter and suggested further momentum ahead of the next fiscal policy meeting. Analysts expect the RBI to lift its 6.7% growth projection and possibly implement its first interest-rate hike since early 2023 as inflation pressures broaden.