MTNL reports defaults in principal and interest payments to multiple banks, total outstanding borrowings stand at Rs 9,575 crore
Mahanagar Telephone Nigam Ltd (MTNL), a Government of India Enterprise, has reported that it defaulted in the payment of Principal and Interest obligations to various lending banks as of July 31, 2026. The company disclosed these financial details, noting the nature of the obligation as the payment of principal and interest.The total amount of outstanding borrowings from banks and financial institutions stands at Rs 9,575 crore. This figure covers defaults that arose across multiple lending institutions, including Union Bank of India, Bank of India, Punjab National Bank, State Bank of India, UCO Bank, Indian Overseas Bank (IOB), and Punjab Sind Bank (PSB).
The obligations detailed in the report cover all banks listed in the notification, with specific default dates recorded for each institution. The defaulted amounts are classified into Principal and Interest components across the various lenders. For example, regarding one bank, the outstanding amount totaled 4,178.74 crore (in INR crore), comprising 3,334.57 crore of principal and 844.17 crore of overdue interest.
While the default payments to banks total Rs 9,575 crore, MTNL’s overall financial indebtedness is significantly higher. The company reported a Total Financial Indebtedness amounting to Rs 37,396 crore. This comprehensive debt figure includes the bank loan amount of 9,575 crore, SG Bond outstanding at 24,071 crore, and associated SG Bond Interest of 3,750 crore.
Key financial metrics reported by Mahanagar Telephone Nigam Ltd (MTNL) related to its obligations are summarized below:
| Financial Metric | Amount (INR crore) |
|---|---|
| Total Outstanding Borrowings from Banks/Financial Institutions | Rs 9,575 |
| Total Financial Indebtedness of the Listed Company | Rs 37,396 |
The report highlights that the obligation relates to the payment of principal and interest on loans and bonds.
MTNL Stock Price Movement
As of 11:40 AM, shares of Mahanagar Telephone Nigam Limited are slipping by 0.25% in live trading, currently priced at ₹27.62. The stock has seen a daily trading range between ₹27.53 and the high of ₹27.78, with 114,711 shares changing hands during this session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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