A decision on whether spectrum can be used as tangible security by operators to raise funds will be taken by Economic Group of Ministers (EGoM) shortly, say news reports.
Earlier, both the Department of Telecommunications (DoT) and the Telecom Regulatory Authority of India (TRAI) agreed that since spectrum has been classified an asset, it can be used by operators as security to raise funds.
Following DoT?s and TRAI?s recommendations, the Ministry of Finance and the Reserve Bank of India had approved this proposal.
If finally approved, the proposal will ease the process of obtaining spectrum for operators. In fact, operators have been requesting the regulator to provide them with the option of paying for spectrum in installments, since the proposed pan-India base price of spectrum is substantial.
