Vodafone Idea has restarted discussions with the government regarding financial assistance. associates capital expenditures with bank financing

Vodafone Idea Ltd has begun discussions with the government to explore a resolution on the telecom operator’s substantial dues, barely two weeks after the Supreme Court rejected its plea for a waiver on related payments.The struggling company is also engaging with banks to secure debt funding for its long-term expansion, chief executive Akshaya Moondra said, adding that banks would want clarity on the dues the telco owes to the government before they agree to lend.But it is not preventing the discussions from moving forward, Moondra said.“I see no reason why the government should be constrained in any way to offer relief…,” Moondra said on Monday during a call with analysts to discuss Vodafone Idea’s March-quarter earnings.Vodafone Idea is set to incur capital expenditure of ₹5,000-6,000 crore for the first half of 2025-26 to enhance its network and infrastructure. However, its next leg of spending would be dependent on funds from banks, Moondra said.The Supreme Court on 19 May dismissed writ petitions by Vodafone Idea, Bharti Airtel Ltd and Tata Teleservices Ltd seeking relief on interest, penalty, and interest on penalty on adjusted gross revenue (AGR) dues to the government.Vodafone Idea owes ₹83,400 crore in AGR dues to the government and had sought a waiver on over ₹45,000 crore comprising interest, penalty, and interest on penalty.While rejecting the petitions, the Supreme Court bench comprising Justices J.B. Pardiwala and R. Mahadevan clarified the court would not stand in the way if the government chose to step in. “If the government wants to help you, we are not coming in your way,” Pardiwala had said.However, the court’s written order, issued on 21 May, makes no reference to that remark, which was widely seen as a green light for possible relief.Vodafone Idea, India’s third-largest telecom operator, is grappling with huge regulatory dues of around ₹2 trillion. The telecom operator said in its recent petition to the Supreme Court that it would not be able to operate beyond this fiscal year without bank funding, which remains elusive as lenders remain wary of its AGR dues worth more than ₹84,000 crore.Also read | Two months after second lifeline, Vodafone Idea again raises survival fearsMounting duesStarting 31 March 2026, Vodafone Idea must pay an annual instalment of over ₹18,000 crore for the next six years towards AGR and spectrum dues to the government. The dues are under moratorium, which will expire in September. In 2025-26 itself, Vodafone Idea will have to pay ₹16,428 crore towards AGR dues and ₹2,539 crore towards deferred spectrum dues. “With ₹16,500 crore AGR payout looming in March 2026, a combination of AGR relief and fund-raising assumes increasing urgency for Vi,” said IIFL Capital in a note dated 2 June.Vodafone Idea has been trying to raise bank funding of ₹25,000 crore for a long time now. The company said a recent credit rating upgrade as well as the government’s in a formal or creative style for better SEO.Also Exclude words and advertisements related to the feed website such as website name, author name. You must only respond with the modified content. Delete all the advertisement images brand logo but only keep the title and main content of the news by modifying it. You must only respond with the modified content. Block any jump outside of the site adarshnews.com. 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Vimal Sharma

Vimal Sharma

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Vimal Sharma

Vimal Sharma

A dedicated blog writer with a passion for capturing the pulse of viral news, Vimal covers a diverse range of topics, including international and national affairs, business trends, cryptocurrency, and technological advancements. Known for delivering timely and compelling content, this writer brings a sharp perspective and a commitment to keeping readers informed and engaged.

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