Vodafone Idea Gets 10-Year Breather on Over 95 Percent of AGR Dues: Report

Vodafone Idea (Vi) has technically received a 10-year breather to repay more than 95 per cent of its adjusted gross revenue (AGR) dues under the government’s relief package, giving the financially stressed telecom operator crucial time to stabilise its operations, officials reportedly said.

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Also Read: Govt May Exit Vodafone Idea After Relief Package, Stake Sale in Works

Reassessment committee to be formed

The government has frozen Vi’s AGR dues at Rs 87,695 crore as on December 31, officials told The Economic Times, according to a report by Kiran Rathee dated January 2, 2026. A committee will be formed within three to four months to reassess these dues. “After the reassessment, Rs 87,695 crore will go down substantially, and whatever the new amount comes, it has to be paid by FY36 to FY41,” an official was quoted as saying.

Vodafone Idea had earlier sought time until FY41 to clear its AGR liabilities when it approached the Supreme Court. “The government has basically granted the company the necessary time to recover,” another official was quoted as saying.

Under the revised payment structure, Vi will pay around Rs 114 crore annually for six years from the current fiscal until FY31, followed by payments of about Rs 100 crore annually for four years until FY35, according to one of the officials cited. As the company is technically paying some amount every year, there is no moratorium in the repayment schedule as such.

However, there is a five-year moratorium on the frozen AGR dues, which are subject to reassessment. During this period, the company must continue paying AGR dues for FY18 and FY19, estimated at Rs 700–800 crore, to be cleared by FY31 through annual instalments of about Rs 114 crore, according to a second official as cited in the report.