Vi shares closed at ₹10.76 a piece on the BSE, ,a decline of 10.85 per cent from the previous close on December 31 when the Cabinet decision was announced
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The Cabinet approval of a relief package for Vodafone Idea (Vi) – that freezes the telco’sstatutory dues, is unlikely to pump confidence amongst banks for fiscal support, said experts.
The moratorium on adjusted gross revenue (AGR) approved by the Central government on the last day of 2025 ensures zero interest on dues and a wider timeframe to repay them.
According to Mahesh Uppal, Director of Comm First (India), the move is good news for the company, users and taxpayers, considering the government is a 49 per cent stakeholder. Even the government’s own dues are more secure now, he said.
However the development is seen as over-hyped in terms of bank confidence.
“I don’t think the Cabinet developments will increase chances for bank support. The stock has also not done well after the announcement. It doesn’t change anything. AGR dues won’t go away,” said Shriram Subramanian, Founder and Managing Director of InGovern Research Services.
Vi shares closed at ₹10.76 a piece on the BSE, ,a decline of 10.85 per cent from the previous close on December 31 when the Cabinet decision was announced. It may be noted that shares rose to ₹11.79 on January 2.
During its last earnings call, Vi said the success of its fund-raising efforts with banks and NBFCs will depend on the relief package provided by the central government. The clincher will come once the government sends a formal communication, Vivekanand Subbaraman, telecom analyst at Ambit Capital, told businessline.
“When that intimation comes in, banks may be willing to deal with Vi. Banks are unable to provide long-term loans to companies whose debt isn’t investment grade. However, ICRA & CARE upgraded Vi’s rating for term loans to investment grade in April 2025,” he said.
Published on January 2, 2026
