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Telecom sector is under stress, banks not lending, says Anil Ambani

He said the telecom sector needed a minimum of Rs 100,000 crore a year to expand and maintain quality of service

IANS  |  Mumbai 

Anil Dhirubhai Ambani
Reliance Anil Dhirubhai Ambani Group Chairman, Anil Ambani and Jai Anmol Ambani, ED, Reliance Capital during the Reliance ADA Group AGM in Mumbai | Photo: Kamlesh Pednekar

Reliance Group Chairman Anil on Tuesday said the is under stress and are not extending any credit.

"The in April asked all to be cautious on telecom. are now not extending any credit," told the (RCOM) annual general meeting here.

"The sector has transformed India as per late Dhirubhai Ambani's vision... The sector has brought mobility to a billion people, with only one winner - the customer," he added.

He, however, said there was a sharp erosion in the competitive landscape now and that some overseas operators have left the country.

"Over the last year, operator after the operator has seen value erosion and large losses. I call this creative destruction of a sector, normally passed off as a disruptive factor," added.

He said the needed a minimum of Rs 100,000 crore a year to expand and maintain the quality of service.

"is moving towards a monopoly, oligopoly: Is that what the customers want? As far as is concerned, we have a transformation programme in place and running."

First Published: Tue, September 26 2017. 18:24 IST