<p>The Centre on Wednesday approved a Rs 1.64-lakh crore revival plan for state-owned BSNL, throwing another lifeline to the ailing telecom firm that is now a minor player in the sector dominated by private players. </p>.<p>The revival package includes three important components: advancement of services and its quality, destressing balance sheet and strengthening fiber network by merging the Bharat Broadband Nigam Ltd (BBNL), formed to implement the BharatNet project, with BSNL.</p>.<p>Making the announcement after the Union Cabinet meeting, Telecom Minister Ashwini Vaishnaw said of the total package, Rs 43,964 crore will be cash component and Rs 1.2 lakh crore non-cash and spread over four years.</p>.<p>To meet the projected capital expenditure for the next four years, the government will fund capex of Rs 22,471 crore for developing 4G technology stack.</p>.<p>Vaishnaw said to de-stress the balance sheet, Rs 33,404 crore statutory dues will be converted into equity. And the government will provide Rs 13,789 crore to BSNL as viability-gap funding for commercially unviable rural wireline operations done during 2014-15 to 2019-20.</p>.<p>The government will also provide sovereign guarantee for raising money to repay current loans.</p>.<p>“It is expected that with the implementation of this revival plan, BSNL will turn-around and earn profit in FY 2026-27," Vaishnaw said.</p>.<p>The Union Cabinet also approved a project for saturation of 4G mobile services in uncovered villages across the country at a total cost of Rs 26,316 crore.</p>
<p>The Centre on Wednesday approved a Rs 1.64-lakh crore revival plan for state-owned BSNL, throwing another lifeline to the ailing telecom firm that is now a minor player in the sector dominated by private players. </p>.<p>The revival package includes three important components: advancement of services and its quality, destressing balance sheet and strengthening fiber network by merging the Bharat Broadband Nigam Ltd (BBNL), formed to implement the BharatNet project, with BSNL.</p>.<p>Making the announcement after the Union Cabinet meeting, Telecom Minister Ashwini Vaishnaw said of the total package, Rs 43,964 crore will be cash component and Rs 1.2 lakh crore non-cash and spread over four years.</p>.<p>To meet the projected capital expenditure for the next four years, the government will fund capex of Rs 22,471 crore for developing 4G technology stack.</p>.<p>Vaishnaw said to de-stress the balance sheet, Rs 33,404 crore statutory dues will be converted into equity. And the government will provide Rs 13,789 crore to BSNL as viability-gap funding for commercially unviable rural wireline operations done during 2014-15 to 2019-20.</p>.<p>The government will also provide sovereign guarantee for raising money to repay current loans.</p>.<p>“It is expected that with the implementation of this revival plan, BSNL will turn-around and earn profit in FY 2026-27," Vaishnaw said.</p>.<p>The Union Cabinet also approved a project for saturation of 4G mobile services in uncovered villages across the country at a total cost of Rs 26,316 crore.</p>
