Cabinet approves Rs 1.64-trn package for revival of BSNL: Vaishnaw

To de-stress the telco's balance sheet, Rs 33,000 cr statutory dues will be converted into equity and a similar amount of bank loans will be repaid through the issue of low-interest bonds

The Union Cabinet on Wednesday approved a Rs 1.64 trillion package for the revival of state-owned telecom firm BSNL, Telecom Minister Ashwini Vaishnaw said.

The revival measures approved by the Cabinet focus on fresh capital for upgrading services, allocating spectrum, de-stressing its balance sheet and augmenting its fiber network by merging Bharat Broadband Nigam Ltd (BBNL) with BSNL.

Briefing reporters on the decision taken by the Union Cabinet, he said the package has a cash component of Rs 43,964 crore and a non-cash component of Rs 1.2 trillion spread over four years.

The government will make administrative allocation of spectrum BSNL needs to