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MTNL defaulted on Rs 8,584.93 crore in bank loans, causing shares to drop 4%.
MTNL defaulted on Rs 8,346 crore loans from seven state-run banks.
MTNL Share Price: Mahanagar Telephone Nigam Limited (MTNL), a Government of India enterprise, has once again informed the exchanges about a continuing default in repayment of bank loans, including both principal and interest components. In its latest regulatory filing dated July 15, 2025, the telecom PSU disclosed that the total defaulted amount now stands at Rs 7,794.34 crore in principal and Rs 790.59 crore in interest, totaling Rs 8,584.93 crore across seven banks.
Following the update, MTNL shares slumped 4 per cent on Tuesday to end at Rs 49.92 on BSE. The scrip opened at Rs 52.15 apiece. The stock’s 52-week movement indicates a high of Rs 101.88 and Rs 37.49, respectively.
The lenders include Union Bank of India, Bank of India, Punjab National Bank, State Bank of India, UCO Bank, Punjab and Sind Bank, and Indian Overseas Bank. The oldest default dates back to August 12, 2024, with Union Bank, while the most recent was with Indian Overseas Bank on February 3, 2025.
The disclosure comes under SEBI’s listing regulations, where MTNL also stated its total financial indebtedness stands at Rs 34,484 crore, which includes loans from banks, sovereign guarantee bonds worth Rs 24,071 crore, and Rs 1,828 crore loan taken to service interest on those bonds.
MTNL Earns Rs 2,134 Cr From Asset Monetisation
Mahanagar Telephone Nigam Limited (MTNL) earned Rs 2,134.61 crore through asset monetisation as of January 2025, according to a written reply in the Lok Sabha by Minister of State for Communications, Pemmasani Chandra Sekhar in March 2025. The state-run telecom firm has primarily monetised land, buildings, towers, and fibre assets that are no longer essential to its operations.
Sekhar clarified that the monetisation process is being carried out in line with the government’s approved policy, and the impact on public sector undertakings like MTNL and Bharat Sanchar Nigam Limited (BSNL) is being closely monitored.
In terms of telecom infrastructure, MTNL earned Rs 258.25 crore specifically from monetising its towers and fibre assets up to January 2025. In comparison, BSNL monetised assets worth Rs 8,204.18 crore under the same category.
However, the financial inflow from monetisation hasn’t prevented the two telecom PSUs from losing market presence. According to the Telecom Regulatory Authority of India (TRAI), BSNL and MTNL together lost over 12.13 lakh wireless subscribers, with their combined wireless market share dropping to 8.08%, as private operators now command 91.92% of the market.
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst…Read More
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst… Read More
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