MTNL announces local call rates of Rs 1.20 per three minutes between Delhi and Mumbai

MTNL has announced that calls between Delhi and Mumbai will now be made at local call rates of Rs 1.20 per three minutes. It currently charges Rs 1.90 for the same service. The new rates will be offered using Tata-owned VSNL’s long distance network. In order to meet the increase in traffic, MTNL is investing in additional infrastructure. It expects that the increase in volume will offset the price decrease and therefore increase revenues. All other operators currently charge Rs 2.40 per minute for countrywide STD calls.