Voda Idea Owes The Government And Banks A Total Of ₹1.8 Trillion
- ByStartupStory | July 3, 2021
Voda Idea owes the government and banks a total of ₹1.8 trillion as of 31 March 2021, including adjusted gross revenue (AGR) liability of ₹60,960 crore deferred spectrum and payment obligations of ₹96,270 crore. Besides, a Care Ratings report pointed out on 7 January that it also had term loans of ₹13,826 crore and guarantees and letters of credit of ₹23,737 crore, excluding lease liabilities. bulk of banks’ exposure to Vodafone Idea is not in the form of term loans, which can be restructured, but non-fund-based guarantees which can be restructured, but non-fund-based guarantees, according to the bankers. The telco’s dues such as spectrum and regulatory fees also far outweigh its loans outstanding, they said on condition of anonymity.
Vodafone has been repaying its loans, although its operational viability is a concern if low tariffs and AGR burden continue. the company is also in discussions with banks on the situation said the source. Further, adding “There are just three telecom players in India, and the government should understand that if because of the collapse of one player, it turns into a duopoly, it will not take long before it turns into a monopoly. We also hope that the Supreme Court takes up the plea to re-evaluate AGR dues.”
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