Moratorium to give Airtel, Jio cash relief of Rs 16,000-crore/year: Analysts

Kolkata: A potential annual cash flow relief of over Rs 16,000 crore from the four-year moratorium allowed on statutory payouts will give Bharti Airtel and Reliance Jio the financial headroom to participate aggressively in the 5G airwaves sale likely early next year, analysts said.

Nomura Group estimates the moratorium to “provide Airtel and Jio as much as Rs 11,900 crore and Rs 4,300 crore, respectively, in annual cash flow relief,” if the two opt for the offer announced as part of a government package for the telecom sector. They could invest the funds in 5G networks, it said.