Given the liquidity crunch on account of the global financial crisis, telecom operators have approached the finance ministry seeking a further relaxation in raising funds through the external commercial borrowing (ECB) route.

Given the liquidity crunch on account of the global financial crisis, telecom operators have approached the finance ministryseeking a further relaxation in raising funds through the external commercial borrowing (ECB) route. In a joint letter to the Ministry of Finance, the Cellular Operators Association of India and the Association of Unified Telecom Service Providers of India have stated that the limit of $500 million per borrower per financial year be increased to equal the total cost of acquiring spectrum for 3G mobile services. The move comes after the Reserve Bank of India announced that telecom operators could raise as much as $500 million through the ECB route for bidding for 3G spectrum. The two associations have also requested that the funds raised through the ECB route should be allowed to be used for acquiring spectrum for broadband wireless services as well.