The telecom minister Manoj Sinha told the Lok Sabha that three Indian Institutes of Management (IIMs) have been asked to indicate their interest for undertaking a study and preparing a revival plan for the state-owned BSNL.
He said: "BSNL and MTNL have been incurring losses for a number of years. Therefore, as per Department of Public Enterprises (DPE) guidelines, both BSNL and MTNL have been declared as 'Incipient Sick.”
The Minister added the government is also considering equipping MTNL and BSNL to start providing 4G services. The minister said that financial support of Rs 492.26 crore has been given to MTNL on account of liability arising from levy of Minimum Alternate Tax (MAT).
He said: "To remain competitive both BSNL and MTNL have also reduced their tariff plans due to private Telecom Service Providers (TSP) offering data and voice tariff plans at substantially lower rates."
The Minister added the government is also considering equipping MTNL and BSNL to start providing 4G services. The minister said that financial support of Rs 492.26 crore has been given to MTNL on account of liability arising from levy of Minimum Alternate Tax (MAT).
He said: "To remain competitive both BSNL and MTNL have also reduced their tariff plans due to private Telecom Service Providers (TSP) offering data and voice tariff plans at substantially lower rates."
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