Cabinet approves revival package of Rs 1 lakh 64 thousand crore for BSNL

The Union Cabinet has approved a package of one lakh 64 thousand crore rupees for the revival of Bharat Sanchar Nigam Limited (BSNL). The package has three parts - improving services, strengthening books and expanding the fiber network. Telecom Minister Ashwini Vaishnav told reporters about the decision taken by the Union Cabinet that the government will allot spectrum to BSNL to offer 4G services. He said that BSNL's statutory dues of Rs 33,000 crore will be converted into equity. Also, the company will issue bonds for the payment of bank loans of the same amount (Rs 33,000 crore). Vaishnav said that the cabinet has also approved the merger of BSNL and Bharat Broadband Network Limited (BBNL).

CAPEX has been approved today for upgradation of company network, Indian equipment will be used for upgradation. The cabinet has also approved the merger of BSNL and Bharat Broadbank Network Limited.

Vaishnav said that the cabinet has approved the project of providing 4G mobile service to 'uncovered' villages of the country through Universal Service Obligation Fund at an estimated cost of Rs 26,316. ​​In response to another question, Vaishnav said that the fifth generation Bids worth Rs 1.49 lakh crore have been received on the second day of (5G) spectrum auction. He said that the ninth round of bidding is going on. The government had received bids worth Rs 1.45 lakh crore after the completion of the fourth round of spectrum bidding on Tuesday, the first day of the auction.