According to budget documents, the government will infuse Rs 447.20 billion into state-owned telecom firm Bharat Sanchar Nigam Limited (BSNL) in the next financial year. To this end, the provision has been made for capital infusion for 4G spectrum, technology up-gradation and restructuring in BSNL.
In addition, the government will provide additional financial support of Rs 74.43 billion to the telecom firm for a voluntary retirement scheme and Rs 35.50 billion as grant-in-aid for payment of goods and services tax (GST).
The financial support for the voluntary retirement scheme (VRS) includes the implementation of the scheme at both BSNL and Mahanagar Telephone Nigam Limited (MTNL). The document further revealed that the support for GST will be provided to BSNL for the payment of GST on the allocation of 4G spectrum.
The additional financial support for the public sector firms is in addition to the Rs 690 billion relief package the government provided them in October 2019.
