Relevance: GS Paper III – Indian Economy (Electronics, Innovation); GS Paper II – Governance
Source: PIB, MeitY

The Government’s Electronics Development Fund (EDF) has invested ₹257.77 crore through eight daughter funds, supporting 128 start-ups in electronics and IT design. These start-ups have generated 23,600+ jobs and created 368 IP assets, strengthening India’s innovation ecosystem.

The Fund 

What is the Electronics Development Fund?

A fund-of-funds scheme under MeitY, designed to boost R&D, innovation, design, and manufacturing in electronics, semiconductors, and deep-tech sectors.

Key Facts 

Objectives, Goals & Significance

Objectives / Goals

• Promote indigenous design and high-tech manufacturing.
  
• Create a strong start-up pipeline for ESDM (Electronics System Design & Manufacturing).
  
• Reduce dependence on imports and support strategic technologies.
  
• Build a national pool of intellectual property in electronics.
  

Significance 

• Supports Atmanirbhar Bharat & National Electronics Policy vision.
  
• Boosts India’s path to US$300 billion electronics manufacturing target by 2026–27.
  
• Strengthens SDG 9 (Industry & Innovation) and SDG 8 (Employment).
  
• Enhances India’s standing in semiconductor and deep-tech supply chains.
  

One-line Wrap:
EDF is a key pillar of India’s innovation-led electronics strategy, nurturing start-ups, IP creation, and long-term technological self-reliance.

UPSC Prelims Practice Question

With reference to the Electronics Development Fund (EDF), consider the following statements:

1. EDF directly funds start-ups in electronics manufacturing.
   
2. EDF aims to strengthen India’s intellectual property base in high-technology sectors.
   
3. EDF operates through a fund-of-funds model.
   

Which of the statements are correct?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3

Answer: (b)