New Delhi:
The government is studying proposals from three telecom companies eager to convert interest on deferred spectrum and adjusted gross income (AGR) into equity, telecom minister Ashwini Vaishnaw told Rajya Sabha on Friday.
Responding to a question in the Senate about whether the government has shares in the privately-owned telecom company Vodafone, Mr Vaishnaw said telecom companies have been given a one-time option to either prepay or convert the interest on AGR rights. in the form of equity instead as part of the structural reforms announced last September.
The one-time option was given to telecom companies to ensure government revenues are not compromised, he said.
“Three companies have taken advantage of that opportunity. We have received their letters and are investigating them,” the minister told Rajya Sabha.
The option was also given as the telecom sector has been going through a difficult phase for many years, leaving many companies’ balance sheets not good today despite the strong growth in the telecom sector, he added.