The Indian government has increased the total spending budget of the Department of Telecom (DoT) by over 21% compared to the previous fiscal year. Of the INR118.01 billion (USD2.7 billion) planned outlay, state-run Bharat Sanchar Nigam Limited (BSNL) has been given INR96.96 billion (up 46%) and set with the task of improving services in rural India. MTNL’s allocation dropped from INR22.20 billion to INR18.87 billion. With the DoT keen to encourage research and development in telecoms, research organisation C-DoT has been provided with INR494 million. In the last two fiscal years C-DoT’s allocation was zero.