Vodafone Idea (VI) will need a decision on several levels of the government on any resolution of relief in adjustable gross revenue (AGR). These will include Union Cabinet, Prime Minister’s Office, Finance Ministry, Telckom Minister Jyotiraditya Scindia and Department of Telecommunications (DOT). Minister of State for Communications Chandrashekhar Pemmasani gave this information to Moneycontrol.
Government has no further plans to help further
Pammasani said, “We have recently converted a large part of the debt into equity. The government has done all that we felt that we can do. After what we have done, we have neither talked about doing anything further nor we have any plan about it.” He said that this issue is so big that it is not just related to any one ministry. This is not an issue on which a person can decide.
Many people associated with the government will have to sit together
He said, “Cabinet, Modiji, Finance Ministry, Union Minister Scindiaji will have to sit together on this issue and talk on many things. It is not such a small amount on which a person can decide. Nothing is going on about it right now.” Asked if DOT has received any proposal about giving concession to Vodafone, he said that there is no such information.
About 2 lakh crores outstanding the government on the company
It has been said in the reports that Dot has sent several proposals for relief to the Prime Minister’s Office (PMO). These include a two -year Moentorium on AGR payment, annual installment of small amount and penalty and interest of interest. Vodafone Idea owes only Rs 83,400 crore to AGR. The annual payment of Rs 18,000 crore is going to start from March 2026. The company owes about Rs 2 lakh crore to the company (VI), including spectrum and other arrears. The VI said that the banks are not ready to give him a loan due to not clear the picture regarding the outstanding amount on him. Due to this, his existence is in danger.
The government has already converted into 53,083 crore equity
The government has converted the arrears of Rs 53,083 crore into equity in two installments. He did this for the first time in February 2023. The second time he did this in April 2024. With this, the government has become the biggest shareholder of Vodafone Idea. Its stake in the company has reached 49 per cent. Despite this, Vodafone Idea has not ended up. The company does not have money for capital expenses. She is making every effort to raise money.
The number of customers decreased to reduce to 20 crores
The number of Vodafone customers has come down to 19.8 million. For the last several years, the number of its customers has been continuously decreasing. The company’s employees are more than 18,000. The company owed Rs 1,944.5 crore to banks at the end of June. On April 17, the company wrote a letter to DOT, which requested to accept a final of Rs 17,313 crore and to waive 100 % interest and penalty on AGR Bakaya.
Stock has dropped 53 percent in the last one year
On August 25, Vodafone Idea shares rose by 4.67 percent. Due to this, the share price rose to Rs 7.40. This stock has fallen more than 53 percent in the last one year. This has caused a lot of loss to investors.