Cabinet approves ₹6,000 crore package for BSNL and MTNL 4G expansion

The Union Cabinet has approved a financial package of approximately ₹6,000 crore to accelerate the 4G network expansion of Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL), according to a report by CNBC Awaaz.

This funding is expected to support both state-owned telecom companies in strengthening and expanding their network infrastructure.

As per the report, the approved funds will be used to enhance BSNL and MTNL’s 4G network coverage across the country.

Under the plan, around one lakh 4G sites will be set up to improve connectivity and ensure better network services for consumers.The report also highlights that to fully implement the expansion, an additional ₹6,000 crore will be required. The government has already provided financial support of ₹3.22 lakh crore to BSNL and MTNL through three separate revival packages.

As part of the initiative, BSNL and MTNL have signed a 10-year agreement for 4G network sharing. This collaboration aims to optimise resources and enhance service delivery for customers.

The CNBC Awaaz report suggests that this move will strengthen BSNL and MTNL’s position in the telecom sector, enabling them to compete with private players and contribute to improving digital connectivity across India.