BSNL gets ₹1.64-lakh-crore lifeline from government
The HinduIn yet another effort to revive the state-owned telecom firm Bharat Sanchar Nigam Limited, the Union Cabinet on July 27 approved a ₹1.64–lakh crore package for its revival. The package, which has a cash component of ₹43,964 crore and a non-cash component of ₹1.2 lakh crore spread over four years, will include administrative allotment of 4G spectrum worth ₹44,993 crore. Other key components of the package include capex support of ₹22,471 crore, viability gap funding of ₹13,789 crore for rural wireline operations, debt structuring by raising of bonds with sovereign guarantee worth ₹40,399 crore and financial support for AGR dues worth ₹33,404 crore. Capex support The Cabinet had approved an allocation of 900/1800 MHz band spectrum worth ₹44,993 crore to support the 4G services of BSNL, he said, adding that this would allow the firm to compete in the market and provide high-speed data. Also, the government would provide ₹13,789 crore to BSNL as viability gap funding for commercially unviable rural wireline operations done during 2014-15 to 2019-20.