India, July 1 -- The expenditure department under the Finance Ministry has cleared a Budget proposal entailing an allocation of Rs 1.25 lakh crore for India Semiconductor Mission 2.0, as the country looks to advance global chip-making ambitions and cement its position as a semiconductor destination for the world, according to sources.

The approval is significant as it is higher than the outlay of Rs 76,000 crore earmarked for ISM 1.0. Sources said that the Expenditure Finance Committee has greenlit the Rs 1.25 lakh crore outlay for ISM 2.0, and that the same will be placed before the Cabinet. The Budget, in February, had sought to give a big boost to the country's manufacturing prowess announcing, among various measures, the second editi...