Mahanagar Telephone Nigam Limited (MTNL) on August 14, 2025, informed that it has once again defaulted on the bond repayment scheduled for August 24, 2025. However, the public sector telecom operator did not reveal the repayment amount. In a regulatory filing, MTNL stated that the fourth semi-annual interest of its 7.61 per cent MTNL Bond Series VIIIB is due on August 24.
Meanwhile, under the structured payment mechanism of the tri-partite agreement (TPA) signed between MTNL, the Department of Telecommunications (DoT), and Beacon Trusteeship Limited, the telco is required to deposit the semi-annual interest into an escrow account maintained with Bank of India, with sufficient funds at least 10 days before the due date.
Furthermore, the financially stressed telecom operator clarified that all bonds issued by MTNL carry a sovereign guarantee from the Government of India.
