With the rising competition among the India's giant private telecom players day by day such as Reliance Jio, Bharti Airtel and Vodafone-Idea, the state run MTNL finding itself at a crossroads. The MTNL, primarily operating in Delhi and Mumbai, finds itself in a struggling field financially, with recent reports emphasising its mounting debts and declining customers. Having grappled with repeated financial challenges and bailout interventions, the government is now contemplating a significant shift for MTNL.
According to sources cited by the Times of India, the proposal to hand over MTNL's operations to BSNL, rather than merging the two entities together, is gaining traction. This fresh approach, is set to be reviewed by the Committee of Secretaries (CoS) before seeking Cabinet approval, aims to streamline operations and avoid the complexities associated with a full merger. BSNL /Representative Image | Financial Struggles and Debt Burden MTNL's financial woes have deepened, as per the Times of India report, with its reported loss of Rs 3,303 crore in the fiscal year 2023-24, up from Rs 2,911 crore the previous year.
The revenue of the company has also have taken a U-turn, declining by 15 per cent to Rs 728 crore, added the report. The rising competition among the India's giant private telecom players day by day such as Reliance Jio, Bharti Airtel and Vodafone-Idea | The company's debt load has surged to Rs 25,795 crore, an increase from Rs 23,500 crore just a year ago. Subscrib.