Govt invests Rs 258 cr under Electronics Development Fund to support 128 startups

New Delhi: The government has invested Rs 257.77 crore under the Electronics Development Fund (EDF) in eight “Daughter funds”, which in turn have given financial support to 128 startups & firms, Parliament was informed on Friday.

Daughter funds are specialized investment vehicles or sub-funds that receive capital from a larger “mother” fund or government-backed entity to invest in specific sectors, startups, or MSMEs.

The Minister of state for electronics and IT Jitin Prasada in a written reply to Rajya Sabha said that the EDF was set up as a Fund of Funds to invest in “Daughter funds” and it provides risk capital to companies developing emerging technologies in the area of electronics, nano-electronics and IT.

“As on February 28, 2026, EDF has invested Rs 257.77 crore in eight Daughter funds, which in turn have made investments of Rs 1,335.77 crore in 128 companies/startups. Total employment in supported companies is more than 22,700. The number of IPs created/acquired by the supported companies are more than 300,” he said.