Bharat Sanchar Nigam Limited (BSNL) and MTNL (Mahanagar Telephone Nigam Limited) have been asked by the government to monetise their assets. This is a part of the relief package announced by the government some time back. With the asset monetisation, BSNL and MTNL will be able to raise funds to fuel their future. However, the asset monetisation has happened at an extremely slow pace than what was asked of the companies. For FY26, the government has set a target of Rs 900 crore and Rs 4,753 crore for BSNL and MTNL for asset monetisation.
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Chandra Sekhar Pemmasani, Minister of State for Communications, in a written reply told Rajya Sabha, asset monetisation is underway. The government has no plans to shut down either of the telcos, the minister said.
"...proceeds of asset monetisation are being used in accordance with the approvals of the Union Cabinet," he added. At the same time, the minister assured that the staff and officials of BSNL and MTNL won't be affected from the asset monetisation. The Modi led government is trying its best to revive BSNL and bring it to a point where it can compete with the private telecom operators.
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BSNL, despite its best efforts so far to deploy 1 lakh 4G sites throughout India, can't come close to the experience what the private telcos are offering. However, BSNL is focused on its goals and the government is planning to add 1 lakh more sites to improve coverage of 4G networks in India. The state-run telecom operator has also been asked by the center to work on 5G and upgrade 4G sites to 5G as soon as possible. In FY25, BSNL registered profits for two consecutive quarters, a first for the operator in more than a decade probably.
