New Delhi [India], July 23 (ANI): The liabilities of state-run telecom company Mahanagar Telephone Nigam Limited (MTNL) rose to Rs 40,008.52 crore in 2025-26 and it holds about Rs. 50,000 crore of noncore asset in market value terms, the government informed Lok Sabha on Tuesday.
In a written reply, Union Communications Minister Jyotiraditya Scindia said the Government has undertaken various financial and administrative measures for MTNL.
He said Mahanagar Telephone Nigam Limited (MTNL), incorporated in 1986 to provide telecom services in Delhi and Mumbai, came under severe financial and competitive stress.
“Government has undertaken various financial and administrative measures for MTNL, including inter alia, restructuring of high cost debt of MTNL through raising of Sovereign Guarantee Bonds (SGB) of Rs. 24,071 crore, funding of Voluntary Retirement Scheme (VRS) of MTNL employees through budgetary support of Rs. 4,327 crore, financial support of Rs. 3,657.05 crore to MTNL for servicing of SGB interest payments, transfer of operational activities of MTNL to BSNL through a service agreement and monetisation of MTNL assets for payment of MTNL’s liabilities,” he said.
The Minister said that Sovereign Guarantee Bonds (SGB) of Rs. 24,071 crore have been raised and Rs. 4,327 crore sanctioned and released for VRS scheme.
“As a result of these measures, MTNL has remained EBITDA-positive since FY 2020- 21, with EBITDA improving steadily since FY 2023-24 (Rs. 43 crore in FY 2023-24 to Rs. 195 crore in FY 2024-25 and Rs. 437 crore in FY 2025-26),” he said.
According to the data provided by the government, the company’s total liabilities have increased steadily over the past five years, rising from Rs 30,960.09 crore in 2021-22 to Rs 32,477.54 crore in 2022-23, Rs 34,340 crore in 2023-24, Rs 37,119.94 crore in 2024-25 and Rs 40,008.52 crore in 2025-26.
Scindia said the government is not considering implementing any new restructuring plan for MTNL in the near future. (ANI)
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