Parliament Question: Revival of MTNL

GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS LOK SABHA STARRED QUESTION NO. 42 ANSWERED ON 22TH JULY, 2026 REVIVAL OF MTNL *42. SHRI ARVIND GANPAT SAWANT: Will the Minister of COMMUNICATIONS be pleased to state: (a) the details of financial and administrative measures taken by the Government for the revival of Mahanagar Telephone Nigam Limited (MTNL); (b) the details of the amount sanctioned, released and spent so far under the revival package; (c) the extent of improvement in the company's financial position as a result of these measures; (d) the details of MTNL's revenue, profit/loss, total liabilities and total assets during the last five years, year-wise; and (e) whether the Government is considering implementing any new restructuring plan for MTNL in the near future and if so, the details thereof? ANSWER MINISTER OF COMMUNICATIONS AND DEVELOPMENT OF NORTH EASTERN REGION (SHRI JYOTIRADITYA M. SCINDIA) (a) to (e) A statement is laid on the Table of the House. 1STATEMENT TO BE LAID ON THE TABLE OF LOK SABHA IN RESPECT OF PARTS (a) TO (e) OF THE LOK SABHA STARRED QUESTION NO. 42 FOR 22ND JULY, 2026 REGARDING “REVIVAL OF MTNL” ASKED BY SHRI ARVIND GANPAT SAWANT. (a) 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. (b) Sovereign Guarantee Bonds (SGB) of Rs. 24,071 crore have been raised and Rs. 4,327 crore sanctioned and released for VRS scheme. (c) and (d) 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). The year-wise financial position is as under: (Rs. in crore) Financial Total Income Operating Income / EBITDA Net Profit Total Total Year Liabilities# Assets 2021-22 1,696.90 295.87 -2,616.57 30,960.09 12,303.64 2022-23 1,474.02 160.04 -2,915.22 32,477.54 11,634.64 2023-24 1,301.48 43 -3,317.42 34,340.00 10,677.20 2024-25 1,307.02 195 -3,341.36 37,119.94 10,184.31 2025-26 1,468.81 437 -3,101.50 40,008.52 10,033.68 #Against total liabilities of approx. Rs. 40,000 crore, MTNL holds approx. Rs. 50,000 crore of non- core asset in market value terms. (e) No, sir. ***** 2