confd is using around 75-85 MB memory on startup in a docker container. But when I push a netconf configuration xml of around 1 MB. the memory is increasing up to 300+ MB. how can I improve it? is there any parameter which helps me limit it under 100 MB?
You may try this suggestion to limit RAM memory usage, e.g. systemd-run --scope -p MemoryMax=100M ....
Note, I think you still need some SWAP memory, so ConfD can allocate memory it needs. Also processing may be slower. Please test in your scenario.