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Sale and leaseback of Spectrum may Save the Telecom Sector

The government is reportedly mulling over various measures to provide relief to the telecom sector, ranging from extending the payment period for outstanding dues to 20 years, to lowering the license fees and spectrum usage charges as shares of revenue. These are all welcome thoughts but if telcos follow the ‘sale and lease’ policy common in the aviation industry, they would avoid locking up capital on a spectrum hoard.