Has there been developments in this area lately?

Where to find opensource / foss sanskrit/bengali fonts please?

Is Lohit https://fedorahosted.org/lohit/ http://fedoraproject.org/wiki/Lohit same in quality/quantity?

Are the fonts covering also vedic texts?

By my count there are now three Hebrew fonts that are licensed with open source licenses:

• The SIL (Summer Institute of Linguistics) Ezra SIL font
• David Perry's Cardo (using SIL's Open Font License version 1.1)
• and the Culmus Project's Ancient Semitic Scripts family of fonts including Keter YG (using GPL v2 with the font exception clause).