The problem with rendering Indian fonts in CyanogenMod Android 4.2 Roms lies with the file fallback_fonts.xml which is located in /system/etc. Although most of the indian fonts are pre-installed in CM10.1 roms, the fault with fallback_fonts.xml prevents rending of the fonts.
So all you need to do is edit this fallback_fonts.xml .
1) For that, one need a root-explorer like ES File Explorer.
2) In the setting of ES File Explorer, activate “root explorer”, “Up to Root” & “Mount File System” options.
3) Navigate to /system/etc
4) Copy fallback_fonts.xml to sd card, and from there to computer.
5) Using notepad++ (or normal notepad) in computer, edit fallback_fonts.xml
6) In that file, many of the font names would be included. Like <file>DroidSansThai.ttf</file> .
7) Edit one those unwanted fonts and replace with the name of the font of your language. To get the name of the font of your language, look up in /system/fonts. If it is malayalm, write <file>AnjaliNewLipi-light.ttf</file>
If your custom rom has deleted any of the Indian Language Fonts, you can download them from here. The font needs to be put in /system/fonts ;and permissions fixed for the font as (rw-, r–, r–) by using properties in ESExplorer.
8) Save the modifications made in fallback_fonts.xml.
9) Replace the modified fallback_fonts.xml file in /system/etc using ES File Explorer
It should work..!
Beware..! If you type a wrong non-existing font name, you will get a boot loop.