Vodafone Idea is likely to see its massive liabilities significantly reduced, as the government reassesses the operator’s outstanding dues and halts interest payments for up to five years, The Economic Times reported.

The government is looking to offer a four- or five-year moratorium on the debt-laden operator’s interest on its INR830 billion ($9.2 billion) adjusted gross revenue (AGR) levies.

A committee reviewing the matter will seek input from the Department of Telecommunications and Vodafone Idea before finalising the amount due, the newspaper wrote, noting the reduction could be as much as 50 per cent.

In September, the country’s Supreme Court gave the government a green light to again review the operator’s AGR liabilities.

The government boosted its stake in the operator from 26.4 per cent to 49 per cent in April, converting INR369.5 billion of its outstanding spectrum auction liabilities to equity.

Vodafone Idea is the third-largest mobile player in India with 197 million subscribers at end-September, down from about 261 million in Q3 2020.