The government has proposed to give Rs. 1,227 crore to improve intellectual property in the field of information technology and electronics.
According to information updated on Ministry of Electronics and IT, the total corpus recommended to be invested by 22 daughter fund in technology firms is around Rs 10,906 crore, in which government has proposed to contribute Rs 1,227 crore, subject to final approval of the EDF board.
Meity spokesperson informed PTI that EDF will be investing in 13 daughter funds over a period of 4-5 years. The person further stated that the total targeted corpus of these 13 daughter funds is Rs 6,950 crore and the amount committed by EDF to these 13 daughter funds is Rs 857 crore.
Electronics Development Fund (EDF) is set up as a “Fund of Funds” to participate in professionally managed “daughter funds”. The daughter funds, which directly connect with beneficiaries, in turn, are providing risk capital to companies developing new technologies and IPRs in the area of electronics, nano-electronics and information technology.