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India aims to double share of manufacturing in GDP to 23% helped by sunrise sectors: FM

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India aims to double share of manufacturing in GDP to 23% helped by sunrise sectors: FM


Union Minister for Finance and Corporate Affairs Nirmala Sitharaman delivered the keynote address on ‘Laying the foundations for a developed India ‘ViksitBharat by 2047’, at the Hoover Institution in California, U.S., on April 22, 2025.
| Photo Credit: PTI

Finance Minister Nirmala Sitharaman on Monday (April 22, 2025) said India plans to increase the share of the manufacturing sector from 12% to 23% over the next two decades, aiming to create jobs and drive economic growth.

India is focussing on 14 identified sunrise sectors like semiconductors, renewable energy components, medical devices, batteries and labour intensive industries, including leather and textile, to enhance the share of manufacturing in GDP, she said while speaking at Hoover Institution at Stanford University California.

For India, she said, “scaling up manufacturing is essential to absorb a youthful workforce, reduce import dependencies and build competitive global supply chains”.

Observing that the world is undergoing a complete reset with regard to manufacturing in the view of industrial revolution 4.0, she said, India, too, is witnessing changes.

“In India’s GDP, the service sector’s contribution is about 64% and if that is one side, at the lower end, the gig economy’s growth is rapid. In fact, if 7.1 million people are in the gig economy today, as of 2021-22 data, we expect that to go to 230 million by 2030. That’s not manufacturing,” she said.

“So the service sector disproportionately contributes both to the GDP and to employment… but that’s not to say manufacturing should be left aside. We have been hoping to increase the contribution of manufacturing from 12% to about 22-23%,” she said, replying to a question as to what share of jobs the manufacturing sector will account for in the next decade, or by 2047.

The government has identified 14 sunrise sectors – semiconductors, renewable energy components, medical devices, hydrogen mission, batteries and so on in order to strengthen manufacturing and introduced the production-linked incentive (PLI) scheme to promote them.

PLI is being offered to sectors that also have greater employment potential like electronic goods and similarly labour intensive sectors like textile and leather.

Highlighting the importance of manufacturing sector, she said, it binds societies and lends cohesion to communities by providing employment opportunities and financial strength to communities.

For long-term growth, she said, manufacturing emerges as a key engine for transformation.

“Manufacturing has historically been a cornerstone of the economic transformation of nations from 19th century Britain to 21st century East Asia. It creates a forward and backward linkages, catalyses skilling and pushes demand for infrastructure and governance reforms,” she said.

On the recent tariff-related actions by the Trump administration in the U.S. and its impact on India, Ms. Sitharaman said when there is stability in government, consistency in policy, a predictability in tax regime, investments and growth can be planned and executed to a large extent.



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FY25 new business of life insurers rose 5% to ₹3.97 lakh cr. 

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New business premium of life insurance companies in India increased 5.13% for the fiscal ended March to ₹3,97,336.78 crore compared to ₹3,77,960.34 crore a year earlier.

Ending a fourth month decline streak, in March the life insurers clocked a little over 2% increase in the premium to ₹61,439.11 crore (₹60,213.62 crore), the business figures released by Life Insurance Council showed.

Private life insurers fared better with 9.80% increase in the premium to ₹1,70,666.87 crore (₹1,55,437.34 crore). In March, their premium rose to ₹24,531.79 crore (₹23,913 crore).

For the fiscal market leader, the State-owned Life Insurance Corporation of India (LIC) reported a 1.86% increase in new business ₹2,26,669.91 crore (₹2,22,522.99 crore). In March, the premium rose 1.67% to ₹.36,907.33 crore (₹36,300.62 crore). LIC sold 1.78 crore new policies in the year, which saw introduction of new surrender value norms in October 2024.

The new business of LIC during the fiscal included ₹62,404.58 crore from individual new business. Individual new business premium for FY25 registered a growth of 8.35% year on year.

The Council said for the individual new business premiums of the life insurers during 2024-25 went up 11.17% to ₹1,66,590.81 crore (₹1,49,851.67 crore).

It said the “strong performance” during the fiscal is on account of the life insurers focus on encouraging first-time buyers to secure comprehensive financial protection, resulting in a 4.47% growth in combined individual premium collections for March 2025.

In the group policy segment, single premiums reached ₹33,543.21 crore, with the category registering a 0.46% growth in premiums collected during March 2025. The insurers efforts to expand access was complemented by significant agent additions —over 11,15,661 new individual life insurance agents were added in 2024-25 — leading to a 7.88% growth in the cumulative agent count.



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Boeing CEO confirms China ‘stopped taking delivery’ amid Beijing-Washington tariff row – Times of India

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Boeing on Wednesday said that China has “stopped taking delivery” of its aircraft, as tensions between Washington and Beijing over tariffs continue to disrupt the global aviation market.
The company will now begin marketing the planes to other airlines after Chinese carriers returned the planes, Aerospace giant CEO Kelly Ortberg said in an interview with CNBC.
Boeing would be “pretty pragmatic” in finding alternative buyers for the aircrafts, he added.

Boeing CEO: We’re on target for positive free cash flow in second half of year

The remarks came after reports of multiple Boeing 737 MAX jets, originally bound for Chinese airlines, were flown back to the United States. One such aircraft, destined for Xiamen Airlines, made an unplanned return to Boeing Field in Seattle on Sunday.
The shift came after US President Donald Trump raised tariffs on Chinese imports to 145% earlier this month to which the latter retaliated with its own 125% tariffs on US-made goods, including aircrafts. The decision rendered Boeing’s bestselling 737 MAX, with a market value of around $55 million, far less affordable for Chinese airlines.
The financial pressure reportedly pushed Beijing to consider measures to help its domestic carriers, especially those leasing Boeing jets.
The company reported a narrower-than-expected loss of $123 million for the first quarter, with revenues rising 18% to $19.5 billion.
In an earnings statement, Ortberg said the numbers show the company is “moving in the right direction.”
Boeing also reaffirmed plans to boost aircraft production, stating it will raise monthly output of the 737 MAX to 38 by 2025, and increase 787 Dreamliner production from five to seven per month.





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Stock markets rise for 7th day; Sensex reclaims 80k-level on rally in IT shares, FII inflows

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Image used for representational purpose.
| Photo Credit: Reuters

Stock markets extended the winning run to seventh day on Wednesday (April 23, 2025) with benchmark BSE Sensex jumping 520 points to close above 80,000 level for the first time in four months driven by strong gains in IT and auto shares.

The 30-share Sensex rose by 520.90 points or 0.65% to settle at 80,116.49, the highest closing level since December 18. During the day, it surged 658.96 points or 0.82% to 80,254.55.

Also read | Sensex reclaims 80,000-level on global markets rally, foreign fund inflows

The NSE Nifty rallied 161.70 points or 0.67% to 24,328.95.

Foreign fund inflows and positive global trends also boosted the market sentiment, analysts said.

Among the Sensex firms, HCL Tech surged the most by 7.72% after the firm posted an 8.1% increase in consolidated net profit at ₹4,307 crore for March quarter 2024-25, mainly on account of large deals with a total contract value of about ₹25,500 crore.

Tech Mahindra, Tata Motors, Infosys, Mahindra & Mahindra, Tata Consultancy Services, Tata Steel, Bharti Airtel and Maruti were also among major gainers.

Banking shares witnessed a sell-off after recent sharp gains with leading private lender HDFC Bank dropping by 1.98% to emerge as the biggest loser among Sensex shares.

Kotak Mahindra Bank, State Bank of India, Axis Bank, ITC and UltraTech Cement were also among the laggards.

In Asian markets, South Korea’s Kospi index, Tokyo’s Nikkei 225 and Hong Kong’s Hang Seng settled in the positive territory. Shanghai SSE Composite ended marginally lower.

Markets in Europe were trading significantly higher.

U.S. markets bounced back sharply on Tuesday. Nasdaq Composite surged 2.71%, Dow Jones Industrial Average jumped 2.66% and S&P 500 rallied 2.51%.

Foreign Institutional Investors (FIIs) bought equities worth ₹1,290.43 crore on Tuesday, according to exchange data.

“The Indian equity market sustained its positive momentum, driven by better outcome from the latest set of IT results and optimistic forward-looking comments. However, profit-booking was visible in financials after the recent sharp rally.

“While US-China trade tensions appear to be easing, a rally in U.S. tech stocks has further bolstered overall global market sentiment,” Vinod Nair, Head of Research, Geojit Investments Limited, said.

The BSE midcap gauge climbed 0.94% and smallcap index went up by 0.26%.

Among BSE sectoral indices, BSE Focused IT surged 4.25%, IT jumped 4%, teck (3.10%), auto (2.34%), realty (1.37%), consumer discretionary (1.02%), healthcare (0.96%) and industrials (0.845).

Financial Services, bankex and consumer durables were the laggards.

As many as 2,078 stocks advanced while 1,873 declined and 155 remained unchanged on the BSE.

Global oil benchmark Brent crude climbed 1.35% to $68.35 a barrel.

The BSE benchmark climbed 187.09 points or 0.24% to settle at 79,595.59 on Tuesday. The Nifty went up by 41.70 points or 0.17% to 24,167.25.



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