State-run telecom company Mahanagar Telecom Nigam Ltd (MTNL) received the much-awaited international long distance (ILD) licence, a development that could further lower ISD rates in the country.
The public sector company was issued the licence by the Department of Telecom (DoT) Wednesday.
MTNL is currently routing its international call traffic through other ILD licence holders like VSNL.
The company is gearing up to carry its own traffic in the near future and with this development MTNL's ISD carriage cost would fall significantly.
MTNL, with its operations in Delhi and Mumbai is building an undersea cable project for carrying its own ISD traffic. The project will connect India to Singapore and Malaysia.
The licence is issued on non-exclusive basis, initially for a period of 20 years which is extendable by a period of five years.