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BSNL signs ILD pact with VSNL

January 22, 2004 17:19 IST

Bharat Sanchar Nigam Ltd has signed an agreement with Tatas-controlled Videsh Sanchar Nigam Ltd to use the latter's network for offering its international long distance services, a top BSNL official said on Thursday.

With this agreement, BSNL would not be making any investment for rolling out its own ISD network initially, and instead share the infrastructure of VSNL, in which the government has 26 per cent stake.

"We have tied up with VSNL for using their ILD infrastructure on commercial terms. The agreement has been signed recently," V P Sinha, chairman and managing director of BSNL, told PTI in New Delhi.

He, however, declined to divulge the commercial details of the agreement.

Tata Group chief Ratan Tata had last year requested Communications and IT Minister Arun Shourie to route international long distance traffic of BSNL through VSNL even after March 2004.

BSNL was given licence to venture into ISD services in 2003 and the corporation had an option to start the services on its own with effect from April 1, this year when the two-year period of preferred carrier to VSNL comes to an end.


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