--- title: "Rs 1.64 lakh crore revival package for BSNL was granted by the Government" description: "The government had approved Rs 1.64 lakh crore revival package for the state-owned telecom firm BSNL to boost its infrastructure and support telephone" author: "Siddhi Shaw" published: 2022-07-28 updated: 2022-07-28 canonical: https://www.mindstick.com/news/1802/rs-1-64-lakh-crore-revival-package-for-bsnl-was-granted-by-the-government category: "technology" tags: ["technology", "network", "government"] reading_time: 3 minutes --- # Rs 1.64 lakh crore revival package for BSNL was granted by the Government On **Wednesday**, the government had approved **Rs 1.64 lakh crore** revival package for **BSNL**, it was another effort to revive the state-owned [telecom firm](https://www.mindstick.com/news/1357/telecom-companies-interested-in-converting-pending-dues-into-equity-telecom-minister-says). Well, the package includes of changing dues into equity, funding and allocation of spectrum in a very bid to change the loss-making telecom **PSU**. ``` HIGHLIGHTS The revival package for BSNL worth Rs 1.64 lakh crore got approved by government BharatNet will merge with BSNL, boost infrastructure and support telephone services In 2019, the package was worth Rs. 74,000 crore to provide great lifeline to BSNL ``` The package which comprises of cash component of **Rs. 43,964 crore** and a non-cash component of **Rs. 1.2 lakh crore** spread within four years. It would even include administrative allotment of 4G spectrum worth of **Rs. 44,993 crore**. **Bharat Broadband Network Ltd (BBNL)** is the firm that created a fibre network [referred to as](https://answers.mindstick.com/qa/39930/at-the-turn-of-the-century-widespread-panic-occurred-that-at-midnight-all-computers-would-reset-to-zero-and-life-as-we-knew-it-would-cease-to-exist-what-was-this-doomsday-theory-commonly-referred-to-as) **BharatNet**. According to **Telecom and IT Minister Ashwini Vaishnaw**, it would be merged with [BSNL](https://www.mindstick.com/news/1198/network-switch-gives-you-5gb-of-free-data-to-customers-says-bsnl) in order to boost its [infrastructure](https://www.mindstick.com/news/2313/a-cybersecurity-and-infrastructure-security-agency-will-monitor-the-us-midterm-elections) and support [telephone](https://www.mindstick.com/articles/300196/telephone-spam-how-to-avoid-telemarketers-on-iphone-and-android) services. There are certain other key elements of the package such as capex support of **Rs. 22,471 crore**, viability gap funding of **Rs. 13,789 crore** especially for the rural wireline operations, debt structuring by raising of bonds with sovereign guarantee which would worth **Rs. 40,399 crore** and funding for **AGR (Adjusted Gross Revenue )** whose dues worth **Rs. 33,404 crore**. As per the Minister, “**with these measures, BSNL would be able to improve the standard of existing services it would roll out [4G services](https://www.mindstick.com/news/1731/free-4g-flip-phones-to-customers-who-still-into-3g-network-by-verizon) and would become financially viable. Therefore, it would be expected that with the [implementation](https://www.mindstick.com/forum/33764/how-to-implementation-of-class-in-c-sharp) of this revival set up, BSNL would take a turn and generate net profit within the next 3-4 years**.' He had mentioned in a conference that “**the previous package of Rs. 74,000 crore in 2019 had provided a great lifeline to BSNL. As a result of which it had helped them to generate the [operating profit](https://answers.mindstick.com/qa/35518/what-is-nopat-net-operating-profit-after-tax) (Rs 1,000 crore). So, in order to make it a viable company, we need to do the financial [restructuring](https://www.mindstick.com/news/4616/microsoft-cuts-9-000-jobs-amid-restructuring-drive)**.” He added “**Today’s decision would help to make BSNL sustainable**.” As with a rapid losing market share to private rivals, the BSNL would have gone into deep sink if the government would have not provided the support to upgrade their technology and services in order to match the competition. Also Read: [BSNL 4G Services to be Rolled Out Soon, Says Minister of State for Communications](https://www.mindstick.com/news/1515/bsnl-4g-services-to-be-rolled-out-soon-says-minister-of-state-for-communications) --- Original Source: https://www.mindstick.com/news/1802/rs-1-64-lakh-crore-revival-package-for-bsnl-was-granted-by-the-government Copyright © MindStick Software Pvt. Ltd. This Markdown version is provided for developers, AI systems, and offline reading.