The Indian government has confirmed that it has no plans to privatise state-run telecom companies Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone Nigam Ltd (MTNL). Minister of State for Rural Development and Communications, Pemmasani Chandra Sekhar, made this statement in Parliament on Wednesday
Sekhar assured that BSNL and MTNL would remain under government control, dismissing speculations about their privatisation. The announcement comes amid reports that the government has shifted its approach regarding the sale of state-owned enterprises, prioritising financial support and infrastructure expansion instead
To strengthen their services, the government has approved significant financial assistance for BSNL and MTNL. In February, the Union Cabinet allocated ₹6,000 crore to expand their 4G networks. This funding will help improve connectivity across the country, with plans to deploy around 100,000 new 4G sites.
Additionally, in July, an extra ₹6,982 crore was sanctioned for BSNL to boost its capital expenditure. This investment aims to modernise its infrastructure and enhance service delivery. So far, the government has provided a total financial aid of ₹3.22 trillion through three revival packages to support BSNL and MTNL.
In a move to optimise resources and improve efficiency, BSNL and MTNL have signed a 10-year agreement for 4G network sharing. This collaboration is expected to enhance service quality and extend coverage in remote areas.
BSNL and MTNL have earned a total of Rs 12,984.86 crore from monetisation of land, buildings, tower and fibre since 2019, Parliament was informed on Wednesday. According to data shared by Minister of State for Communications Pemmasani Chandra Sekhar in Lok Sabha, BSNL has earned Rs 2,387.82 crore and MTNL Rs 2,134.61 crore up to January 2025 from monetisation of lands and buildings.
“BSNL and MTNL are monetising only those land and building assets which are not required for their own use in the foreseeable future and for which it has the rights to transfer the ownership,” Sekhar said in a written reply.
BSNL has earned Rs 8,204.18 crore and MTNL Rs 258.25 crore from monetisation of close assets comprising tower and fibre up to January 2025, as per the reply.
“Monetisation of assets are being done as per approved policy of the Government and its impact on the PSUs are being monitored closely,” Sekhar said.
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