The Indian government has taken a significant step towards bolstering its domestic semiconductor industry by approving 23 chip design projects under the Design Linked Incentive (DLI) scheme. This strategic move, announced on August 23, 2025, is designed to support startups and Micro, Small & Medium Enterprises (MSMEs) in accelerating the design and development of chips and System-on-Chip (SoC) solutions. The Ministry of Electronics and Information Technology (MeitY) revealed that these approved projects will focus on creating semiconductor solutions for diverse applications, including surveillance cameras, smart energy meters, networking systems, and microprocessor IPs. To further enhance the design ecosystem, 72 companies have been granted access to Electronic Design Automation (EDA) tools for research and development support. This initiative is an integral part of India's broader semiconductor strategy, which includes a substantial ā¹1.6 trillion push for chipmaking projects across six states.
In a forward-looking address at the Economic Times World Leaders Forum on August 23, 2025, Prime Minister Narendra Modi emphasized India's trajectory to become the world's third-largest major economy and a developed nation by 2047. He asserted that India is well-positioned to contribute to global economic recovery, guided by the mantra of "reform, perform, and transform." The Prime Minister also announced that a "next-generation GST reform" process, aimed at simplifying the law and reducing prices, is slated for completion before Diwali. These reforms are expected to boost manufacturing, increase market demand, and create new employment opportunities, thereby enhancing both the Ease of Living and Ease of Doing Business in the country.
Demonstrating continued focus on welfare and infrastructure, Prime Minister Modi is scheduled to visit Gujarat starting August 25, 2025. During his two-day visit, he will inaugurate housing units constructed under the Pradhan Mantri Awas Yojana (PMAY) and lay foundation stones for development projects totaling ā¹5,477 crore. Specifically, in Ahmedabad, 1,449 houses and 130 shops built under PMAY (Urban) in the Ramapir Tekra slum area will be inaugurated. Additionally, significant infrastructure upgrades are planned, including the widening of the four-lane SP Ring Road into a six-lane expressway-standard corridor and a ā¹27-crore water pumping station project to provide clean drinking water to 10 villages under the Jal Jeevan Mission.
In an international policy development, India's Department of Posts announced on August 23, 2025, that it will temporarily suspend most postal services to the United States starting August 25, 2025. This decision comes in response to a new US Executive Order (No. 14324, issued July 30, 2025) that eliminates duty-free exemptions for goods valued up to USD 800, meaning almost all items entering the US will now be subject to customs duties. Due to uncertainties surrounding duty collection processes and the refusal of US-bound air carriers to accept postal consignments after August 25, only letters, documents, and gift items valued up to USD 100 will continue to be accepted for delivery to the US until further notice.