RCOM increases tariffs by 25 per cent in a bid to increase its operating margins

Reliance Communications (RCOM) has raised calling rates by 25 per cent.

The operator has revised its calling rates from the base price of Re 0.012 (1.2 paise) per second to Re 0.015 (1.5 paise). Initially, RCOM will introduce the revised tariffs in four states followed by pan-India implementation within a month.

RCOM?s move to increase calling rates comes as a result of company new focus on tracking average margin per user rather than average monthly revenue per user. The increase in tariff is likely to result in improved operating margins for RCOM.

The revised call rates by RCOM will be applicable for new subscribers and subsequently extended to its existing subscribers once the validity of their current tariff plans expire.