The government has ordered a decision to avoid the merger of BSNL and MTNL. Instead, it has taken the chance of transferring the mobile services of MTNL to BSNL.
This means that BSNL now gets an opportunity to start mobile services in Delhi and Mumbai. Earlier, it was providing its mobile services to 20 circles all over the country.
MTNL will now restrict its operations to providing only wireline services in Mumbai and Delhi.
The new business arrangement will start from January 2021, as per reports.
The Union Cabinet had last year thought of merging both the companies and also approved more than Rs 70,000 crore as revival package. But it has now put down the idea of merger.
The move came after the government was suggested to allocate the 2G and 4G spectrum to BSNL in Delhi and Mumbai in order to make the company provide its services all over India.
By Sahana Iyer
