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NEW DELHI, March 1 Asia Pulse - Providing a fillip to the fastest growing telecom sector, Union Finance Minister P Chidmabaram on Tuesday enhanced allocations under Universal Service Obligation (USO) fund for rural connectivity by 25 per cent to Rs 15 billion (US$337.4 million).
Financial assistance has also been extended to cellular telephony companies to encourage them to go to rural areas, for which he proposed an amendment in the current Telegraph Act.
The Ministry of Communications would bring a Bill in the Budget session to amend the Indian Telegraph Act in order to support infrastructure for cellular telephony in rural India, the FM said.
With rural tele-density at an abysmal low of two per cent against an urban teledensity of 23 per cent and an overall tele-density of 11.75 per cent, the proposals will go a step further and lay part ...
Source: HighBeam Research, INDIAN BUDEGT GIVES RURAL TELEPHONY A LEG-UP.