As the Narendra Modi government embarks on its third term, the horizon is bright with promise and potential. With momentum from the Union Budget and impressive achievements in the first 100 days, this term is poised to redefine India’s development narrative as ₹15 lakh crore worth of investment has already been committed in just this period

Bold policy changes, a commitment to job creation, sustainable growth and a relentless push for technological innovation are the cornerstones of this vision. PM Modi’s third term emphasizes strengthening infrastructure, simplifying the business landscape and fostering dynamic joint ventures. 

Building on past advancements, India is ready to roar onto the global stage, with the Make in India initiative—which completed its 10th year this week—symbolizing vibrant partnerships and boundless investment opportunities. This is not just a moment; it’s a movement, inviting global players to participate in shaping a prosperous tomorrow.

Policy changes and investments 

The Modi administration has made significant policy changes and introduced various schemes to fuel India’s industrial and economic growth.  

For instance, the Union Budget allocated ₹10,000 crore for a New Employment Generation Scheme, which includes a paid internship program to provide one crore youth an opportunity to work at 500 top companies over the next five years.

Corporate taxes have been reduced from 40% to 35% for foreign companies, making India an even more attractive destination for investors. To ease the financial burden on start-ups and foster innovation, the government has abolished the 31% angel tax – providing the much-needed relief and encouraging growth in the start-up ecosystem. Similarly, custom duties were also modified to incentivize key sectors, such as reducing duty on mobile phones to 15%, and removing duties on three cancer medicines.

“The support of the government to make India a robust ecosystem for the electronics industry, by reducing duties on critical minerals, mobile phones, is not just a policy shift but a mindset shift. This approach paves the way for ‘New India’ to advance comprehensive end-to-end manufacturing. Concurrently, India’s ambitious carbon market reforms, along with the global momentum toward carbon pricing, are crucial steps in our pursuit of a sustainable future. By proactively addressing challenges like greenwashing and ensuring the integrity and quality of carbon credits, we can create a strong market that mitigates climate change while driving economic growth and fostering innovation,” says Ananthanarayanan Shanmugam, Senior Vice President & Chief Facilitation and Govt Relations Officer (State Facilitation) at Invest India. 

Healthcare 

In the first 100 days of its third term, the Union government has launched several groundbreaking initiatives in healthcare and family welfare, driving healthcare innovation, pandemic preparedness and the development of indigenous medical solutions toward a more resilient Atmanirbhar Bharat

Drones are set to revolutionize medical deliveries, with trials completed in 12 of 15 designated institutions, including AIIMS. PM Modi introduced BHISHM Cubes—portable, modular medical facilities—during his Ukraine visit; these will be deployed at 25 AIIMS and Institutes of National Importance (INIs) for rapid emergency care. 

The U-WIN portal, a digital solution under the Universal Immunization Programme, will streamline vaccination services for pregnant women and children under 17, enhancing accessibility and tracking. Additionally, the treatment duration for tuberculosis has been reduced from nine-12 months to just six months, making care more efficient.

As the world’s largest publicly funded health program, the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana covers treatment costs up to ₹5 lakh. Recently, under this scheme, the Union Cabinet has approved free health coverage for all senior citizens aged 70 and above, benefiting around six crore seniors from 4.5 crore families. To further strengthen the healthcare workforce, the government aims to add 75,000 new medical seats. 

Upcoming initiatives include the Med-Tech Mitra, the National One Health Mission for Pandemic Preparedness, Integrated Research and Diagnostic Laboratories and a Program for Development of Indigenous Drugs for Rare Diseases, some of which focusing on research and capacity building. These initiatives are slated for launch next month.

Technology and innovation 

The third term has brought a laser focus on technology and innovation. The government’s PLI White Goods Scheme has entered its third round. The scheme has driven significant domestic value addition in air conditioning and LED segments, with AC value addition rising from 25% to 55%.   

A major development in AI is the India AI Mission, which invites companies to provide AI services on the cloud, with an outlay of $1.24 billion. The Defence Research and Development Organisation (DRDO) also launched the Divya Drishti tool, which enhances accuracy in identification through AI-powered face recognition combined with physiological parameters.

In telecom, reforms under the Telecommunications (Administration of Digital Bharat Nidhi) Rules, 2024 aim to enhance digital connectivity and boost innovation.

Similarly, the medical devices sector has seen policy changes, such as the reduction of duties on key equipment like X-ray tubes. The revised rates are expected to boost the X-ray machine industry by enhancing component availability at lower costs, driving growth in the domestic medical device sector and making advanced medical imaging more affordable and accessible.

Semiconductor revolution 

One of the most significant sectors receiving attention is semiconductors. Gujarat, a hub of innovation, is becoming home to giants like Micron Technology in Sanand, with Tata Electronics Private Limited entering a joint venture with Taiwan’s Powerchip Semiconductor Manufacturing Corp in Dholera.

According to the India Electronic and Semiconductor Association (IESA), semiconductor demand in India is expected to skyrocket from $40 billion to over $100 billion by 2030. The India Semiconductor Mission is a cornerstone initiative, aimed at positioning India as a global leader in this industry. 

Prime Minister Modi’s recent visit to Singapore, where he met key semiconductor company CEOs, also led to the signing of MoUs with one of India's top investing nations. The SEMICON India 2024 event saw participation from over 250 companies across 24 countries, eager to explore India's rapidly evolving semiconductor ecosystem.

India’s newly rising semiconductor space has been witnessing entry of some big and famous global and domestic names such as Israel’s Tower Semiconductor, US-based Lam Research, Tokyo Electron Ltd, Kaynes Semicon, Mindgrove, Adani Group, Larsen & Toubro Ltd., Renesas, AMD and NXP Semiconductors.

“Today, India stands at the forefront of a transformative era, where strategic investments in sustainable infrastructure and innovation are reshaping our economy. By fostering advancements in key sectors like semiconductors, data centers and telecom, India is poised to become a global investment hub. We are not only driving self-reliance but also establishing ourselves as a critical player in the global market. This momentum reflects a strong commitment to shaping a prosperous and green future for all, setting the stage for a ‘Developed India’,” says Vinod Subramanian, Vice President, Technology and Telecom at Invest India.  

Infrastructure 

In just 100 days, infrastructure projects worth $36 billion have been approved, spanning sectors from road construction to aviation.  

National highway projects covering 936 km and costing $6 billion have been approved, along with investments in upgrading Varanasi’s Lal Bahadur Shastri International Airport with $343 million. Metro projects in Pune, Thane and Bengaluru worth $3.67 billion are expected to reduce travel time and boost public transport. 

The fourth phase of the Pradhan Mantri Gram Sadak Yojana, with an outlay of ₹49,000 crore, plans to connect 25,000 remote villages by road. Under the Pradhan Mantri Janjatiya Unnat Gram Abhiyan, 63,000 tribal villages will be fully equipped with essential services, improving the economic condition of five crore tribals. 

The construction of a mega all-weather port in Vadhavan, Maharashtra is also underway, with a goal to become one of the world’s top 10 ports. Additionally, two mega shipbuilding parks are scheduled for completion by 2030.

“Bringing the common vision of the National Infrastructure Pipeline 2020 on par with the PM Gati Shakti platform for integrated development, the Indian government in the last decade has completely transformed its approach and implementation strategy for infrastructure in the country — from a need-based model of development to an integrated long-term growth plan aimed at catering to the needs of ‘New India.’ For example, recently the government has approved new smart industrial cities under the NICDP, with $3.42 billion in investments to boost India’s global manufacturing edge,” says Karan Sethi, Vice President, Infrastructure at Invest India. 

Aviation 

In the past 100 days, India has initiated significant reforms in the aviation sector. The civil aviation ministry’s budget is set at ₹2,357.14 crore, with ₹502 crore earmarked for the Regional Connectivity Scheme.  

This funding supports the revival of 22 airports and the operationalization of 124 routes, enhancing connectivity, particularly in the Northeast. Additionally, the Production Linked Incentive (PLI) Scheme for drones has received an increased allocation of ₹57 crore. 

At the Second Asia Pacific Ministerial Conference, PM Modi introduced the Delhi Declaration on Civil Aviation, which aims to enhance international collaboration and promote sustainable aviation practices. This initiative addresses challenges as air traffic is expected to exceed 500 million travelers by 2030, focusing on reducing carbon emissions and encouraging innovative technologies. 

The government also announced a 5% Integrated Goods and Services Tax (IGST) on aircraft and engine parts, streamlining the tax structure and boosting the domestic maintenance, repair and overhaul (MRO) industry.  

Defence 

In the first 100 days of Modi 3.0 government, significant strides have been made to bolster India's defence sector. With a robust focus on self-reliance, the budget allocation to the Ministry of Defence got an additional ₹400 crore for defence innovation through the ADITI scheme.  

The iDEX-DIO, under the Ministry of Defence, signed an MoU with the Armed Forces Medical Services for Medical Innovations and Research Advancement. Additionally, the DRDO awarded seven new projects to boost indigenous manufacturing.  

Bilateral agreements with Japan, Vietnam and the US emphasized industrial cooperation, while India’s collaboration with the US Small Business Administration showcased growing global recognition of India’s defence innovation ecosystem.  

Hindustan Aeronautics Limited's deal for 240 AL 31FP Aero Engines and the Defence Acquisition Council's sanctioning of 10 capital acquisition proposals reflect the government's commitment to modernizing the armed forces with indigenous products. 

Agriculture 

Agriculture remains a cornerstone of India’s economy, and the government has introduced several reforms to benefit farmers.  

The Minimum Support Price for Kharif crops was increased, benefiting approximately 12 crore farmers, while the Clean Plant Program was launched with an investment of ₹1,767 crore to provide disease-free, high-quality planting material. 

The Digital Agriculture Mission is a bold initiative with an outlay of ₹2,817 crore, aiming to revolutionize farming using technology, including digital identities for farmers and precision crop management. 

Additionally, PM-KISAN continues to be a major success, with its 17th instalment disbursing ₹20,000 crore to 9.3 crore farmers to help with immediate needs like seeds and fertilizers. 

Textiles 

In the past 100 days, the textiles industry has made significant progress, reinforcing its role in India's economy. The government has sanctioned a Production Linked Incentive (PLI) Scheme exceeding ₹10,000 crore for the textiles sector, with plans to extend it to garments. Under the National Technical Textiles Mission (NTTM), 12 startups were funded up to ₹50 lakhs each through the GREAT startups program, focusing on composites, medical, and sustainable textiles to boost job creation and reduce import reliance. 

The ministry also launched VisioNxt, a fashion trend forecasting system powered by Artificial and Emotional Intelligence, offering valuable insights to weavers, manufacturers, startups, and retailers, enhancing India's global competitiveness. 

In a move to support local industries, a new pricing methodology for jute sack bags was introduced, benefiting four lakh jute workers and 40 lakh farming families, while promoting biodegradable jute use. 

The recent International Conference on Technical Textiles emphasized the potential for growth in new application areas, which is expected to stimulate market expansion and open new avenues for exports, further driving the industry's overall development. 

The Union Budget has placed a strong emphasis on the leather and footwear sectors, which are vital to India’s economy. The introduction of the proposed PLI Schemes aims to fortify local manufacturing ecosystems and enhance value chains in these industries. 

Leather and footwear 

To ensure quality footwear for consumers and to promote Make in India brand, the Department for Promotion of Industry and Internal Trade (DPIIT) has notified two quality control orders.  

The implementation of these QCOs will help prevent substandard, low-cost leather product imports and help save Indian footwear industry from unfair competition. 

Apex body for leather and footwear exporters, the Council for Leather Exports, has asked the government to formulate a national policy for the sector with a view to attract investments, boost India’s shipments and create jobs. 

Invest India’s Senior Vice President & Chief Industry Officer, Non-Tech Sectors, Dr Suruchi Mittar reiterates this belief and vision: “The government’s increased focus on strategic initiatives and budget allocations for agriculture, leather and textiles is creating unprecedented opportunities for growth and transformation. By supporting both legacy and emerging opportunities with robust policy frameworks, enabling ecosystems and forward-looking initiatives, we are not only driving innovation and investment, but also ensuring sustainable job creation and inclusive development. These efforts are pivotal for positioning India as a global leader in resilient and responsible growth and the 100-day achievements are a testament to this vision.”

Sustainability and renewable energy 

India is strategically aligning its efforts across sectors with a long-term focus on job creation, sustainability and planetary restoration, significantly enhancing the Make in India and Atmanirbhar Bharat initiatives.  

Recent changes in customs duties reflect this commitment, as the government has exempted capital goods for manufacturing solar cells and panels while also waiving duties on 25 critical minerals, including lithium, gallium, germanium, copper, cobalt and nickel — three of which are essential for electric vehicle (EV) battery production. 

To facilitate the transition from fossil fuels to renewable energy, the Union government is implementing various bio-based policy interventions. These include promoting a circular economy, advancing green hydrogen technology and empowering the MSME sector. 

India is also prioritizing international cooperation to support the global south, focusing on financial assessments and new quantifiable goals in preparation for COP29. Furthermore, the Centre has proposed a carbon market and established the Green Climate Fund to build capacity through supporting technologies. 

The Union Cabinet has approved the PM-eBus Sewa-Payment Security Mechanism Scheme, aiming to deploy over 38,000 electric buses in public transport over the next five years. Additionally, the PM E-DRIVE scheme will provide e-vouchers and incentives for electric trucks and ambulances, further promoting electric mobility in India. 

India is firmly on track to achieve its ambitious target of 500 gigawatts of renewable energy by 2030, establishing itself as one of the world’s most attractive markets for renewable energy. This commitment is driven by comprehensive strategies and policies, including central initiatives like PM KUSUM and PM Surya Ghar, which aim to benefit farmers and households. The success of the Solar PLI Scheme is poised to make India self-sufficient in solar cell and module production. 

Additionally, the National Green Hydrogen Mission is focusing on alternative measures to reduce fossil fuel reliance.  

Significant achievements in the renewable energy sector highlight this progress:  

• Six gigawatts of renewable energy capacity were commissioned between June and August, surpassing the target of 4.5 GW 
• Non-fossil installed capacity has reached 207.76 GW, and renewable energy implementing agencies issued procurement bids for 14 GW, exceeding the 10 GW target  
• The completion of two solar parks and the installation of 100,000 solar pumps under PM KUSUM further demonstrate progress 
• The PM Surya Ghar Scheme has led to the installation of 356,000 rooftop solar systems  
• The approval of the Offshore Wind Scheme and the establishment of IREDA Global Green Energy Finance IFSC Ltd in Gujarat's GIFT City further underscore India’s commitment to a sustainable energy future 

India’s initiatives for sustainability include the newly approved BioE3 Policy, which supports high-performance biomanufacturing to achieve Net Zero goals. The policy focuses on R&D innovation, establishes biomanufacturing and bio-AI hubs, and aims for a regenerative bioeconomy through bio-based chemicals and carbon capture while expanding the skilled workforce. 

Mission Mausam, with a ₹2,000 crore budget, seeks to enhance weather and climate forecasting by 2026. It features advanced weather surveillance technologies and integrates AI-ML with physics-based models for improved accuracy. 

The Anusandhan National Research Foundation (ANRF), backed by a ₹50,000 crore allocation from 2023 to 2028, aims to provide resources to scientists and reduce research barriers. At its landmark session recently, PM Modi focused on promoting localized solutions to global challenges. It plans a mentorship program linking established and developing institutions.  

“India’s ambitious leap in research and development isn't just a government endeavor, it’s a clarion call to the private sector. By creating a robust ecosystem for innovation, from the ANRF’s flexible funding to Mission Mausam’s cutting-edge forecasting, we’re opening new frontiers for industry collaboration. These strategic initiatives, aligned with our Prime Minister’s Viksit Bharat 2047 vision, are catalysts for private investment, promising to transform the global challenges into opportunities,” says Vikrant Khazanchi, Senior Assistant Vice President, Technology & Innovation at Invest India.  

In the first 100 days of Modi's third term, an ambitious agenda has ignited transformative change across industries, setting the stage for an exhilarating journey. The administration’s focus on technology, defence, sustainability, infrastructure and agriculture—alongside bold policy reforms—reflects a vibrant vision for an Atmanirbhar Bharat or self-reliant India. 

Invest India, at this juncture, with an additional office now in Singapore, is all set to facilitate and help investors explore the sea of opportunities awaiting them in irresistible India.