Mon Jan 20 09:30:00 UTC 2025: **Telecom Stocks Soar on Potential AGR Relief**
**Mumbai, January 20, 2025** – Shares of several Indian telecom companies experienced significant gains on Monday following media reports suggesting the central government is considering substantial relief on Adjusted Gross Revenue (AGR) dues. Vodafone Idea saw a 14.9% surge, Tata Teleservices (Maharashtra) Ltd. climbed 14.7%, and Mahanagar Telephone Nigam Ltd (MTNL) rose 13%.
The proposed relief, reportedly under consideration for inclusion in the upcoming Union Budget 2025, could involve waiving 50% of interest and 100% of penalties on AGR dues. This measure is estimated to provide over ₹1 lakh crore in relief to the telecom sector. Reports indicate Vodafone Idea could see a reduction of over ₹52,000 crore in dues, Bharti Airtel nearly ₹38,000 crore, and Tata Teleservices approximately ₹14,000 crore.
The Supreme Court’s 2019 ruling on AGR dues imposed a total of ₹1.47 lakh crore on telecom companies, with a significant portion comprising interest and penalties. While the government offered some relief to Vodafone Idea in December 2024 by waiving bank guarantee requirements for past spectrum dues, this latest development represents a potentially much larger financial reprieve for struggling telecom operators.
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