TeleGeography Logo

Government considers INR85bn loan for BSNL, MTNL

3 Feb 2014

An inter-ministerial group has requested that the government loan funds to loss-making state-backed telcos Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone Nigam Ltd (MTNL) to pay a portion of their salary bills, the Economic Times writes, citing an unnamed senior official. The government is reportedly considering issuing soft loans totalling INR85 billion (USD1.36 billion) at a token rate of 1% interest over a ten-year period to help pay employees absorbed from the Department of Telecommunications (DoT). Total staffing costs for BSNL are expected to reach INR140 billion for 2013-14, whilst MTNL is predicted to pay out INR19 billion in salaries for the year.

GlobalComms Database

Want more? Peruse the GlobalComms Database—the most complete source of intel about mobile, fixed broadband, and fixed voice markets.

TeleGeography

TeleGeography is the definitive source for telecom news, numbers, and analysis. Explore the full research catalog.