The government is not expected to take an immediate decision on a relief package for Vodafone Idea (Vi), with the Centre adopting a measured and cautious approach, according to an NDTV Profit report by Shrimi Choudhary dated December 17, 2025, citing government sources familiar with the matter.
Also Read: Vodafone Idea Has Healthy Cash Flows; No Stake Hike Beyond 49 Percent, Says Telecom Minister
Valuation Concerns Loom Large Due to Equity Stake
Sources were quoted as saying that the government is wary of taking any step that could directly impact the company’s valuation, especially as it holds a 49 percent equity stake in the telecom operator following the conversion of statutory dues into equity. Any policy decision, sources indicated, is being evaluated not only for its fiscal implications but also for its potential effect on the market.
During recent internal discussions, the government reviewed Vodafone Idea’s share price performance, which has remained highly volatile. Officials noted that the stock’s sensitivity to policy signals has reinforced the need for caution in decision-making, the report said.
No Urgency to Take a Call
As a result, a final decision on any relief measures is likely to take time, with the government preferring a calibrated approach and a thorough examination of all available options. Officials said there is no urgency to take a call without fully evaluating the broader consequences, according to the report.
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Vodafone Idea Proposals Under DoT Examination
Vodafone Idea has reportedly submitted two to three proposals to the Department of Telecommunications (DoT) seeking relief, which are currently under examination. However, sources stressed that no immediate decision is envisaged.
The deliberations follow the Supreme Court’s decision on Vodafone Idea’s adjusted gross revenue (AGR) reassessment pleas, involving dues of around Rs 83,500 crore. The operator has repeatedly flagged funding constraints and the need for support to sustain operations and meet regulatory obligations.
Government sources cited in the report said policymakers are balancing the company’s financial stress with concerns around market sensitivity, valuation impact and long-term stability of the telecom sector. The cautious stance reflects an effort to support a stressed operator while avoiding unintended market distortions.
