Indian government is seeking at least $30 billion in overdue telecom fees from mobile-phone service providers to energy companies and fertilizer makers as it struggles to meet its budget deficit target with economic growth foundering. This follows a $3 billion demand from Vodafone Group Plc’s Indian unit, another $3 billion from Bharti Airtel Ltd., and reports that GAIL India Ltd. has been asked for $24 billion. A Supreme Court verdict is helping the government in its hunt for funds – at least from companies that bought any form of telecom licenses. “If current trends persist it is likely that the Modi government’s fiscal deficit target will slip to 3.7% of GDP" in the year ended March 2020 compared with the 3.3% target. Modi’s administration has been asking companies with telecom licenses to pay dues after the nation’s Supreme Court said it can take into account a firm’s entire revenue for calculating licensing fees.

Source: Mint January 02, 2020 05:37 UTC