Government Sanctions ₹6,982 Crore Additional Capital for BSNL’s 4G Expansion
New Delhi: The government has approved a fresh capital expenditure (capex) of ₹6,982 crore for Bharat Sanchar Nigam Ltd (BSNL) in 2025. Siginficantly, the primary objective of additional funds is to accelerate the rollout of its 4G network across the country. This latest financial support is part of a series of revival packages aimed at transforming the public sector telecom operator into a more viable and competitive entity. The total investment into BSNL’s revival now amounts to ₹3.22 lakh crore in government support. It includes a substantial ₹69,000 crore package in 2019, a ₹1.64 lakh crore package in 2022, and the critical allocation of 4G and 5G spectrum worth ₹89,000 crore in 2023.
According to a detailed written reply in Parliament by Minister of State for Telecom Pemmasani Chandrasekhar, with these funds, the government intends to strategically boost BSNL’s ongoing efforts to compete in India’s highly competitive telecom market. The minister also highlighted that BSNL’s comprehensive revival initiatives have led to a significant turnaround in its financial performance. Consequently, the company has reported operating profits since the financial year 2020-21. This positive trend culminated in BSNL’s notable achievement of back-to-back net profits of ₹262 crore and ₹280 crore in the third and fourth quarters of FY 2024-25, respectively.
The new capex allocation is crucial for BSNL’s ambitious infrastructure development plans. As of July 31, 2025, the company has successfully installed 96,300 sites for its 4G services, with 91,281 of them already operational. The government’s continued backing underscores a commitment to ensure BSNL can effectively provide high-speed internet and mobile services. This is crucial in rural and remote areas where private operators often have limited presence. The latest infusion of capital will enable BSNL to accelerate its network expansion, upgrade existing infrastructure, and introduce new services.
