MTNL Surges On New Govt’s Assurance Of Revival

Shares of Mahanagar Telephone Nigam Ltd (MTNL) have surged to 9% on Wednesday as investors are pinning their hopes on the State-owned telecom services provider’s revival post the new government's assurance.

Communications and IT minister Ravi Shankar Prasad has assured that the ailing State-run telecom companies, MTNL and BSNL, will see government emphasis to improve their condition.

In his first formal Press conference after taking over three weeks ago, the minister said he would directly monitor the performance of their networks. "I have decided that an NOC (network operating centre) will be set up in my chamber in which the number of BSNL-MTNL towers working or not working will appear on a screen before me," he said.

MTNL scrip closed at Rs 34.65, up Rs 2.85 or 8.96% on the BSE.

Prasad also informed that the government plans to spend Rs 5,000 crore to set up about 8,000 mobile towers in North-east India. It will also monitor the deployment of mobile towers in nine Naxal-infested states.
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