The Digital Bharat Nidhi, with a fund of Rs 80,000 crore, will now extend its support to telecommunication services in urban areas, aiming to enhance service affordability and security, according to an official statement released on Monday.
This development follows the recent notification of the scheme under the Telecommunications Act 2023.
"The schemes and projects funded under the Digital Bharat Nidhi need to meet one or more of the criteria stipulated in the rules," the statement said.
The criteria include projects that provide telecommunication services—such as mobile and broadband—and the necessary equipment for delivering these services, alongside initiatives aimed at improving telecom security.
Additionally, the scheme focuses on making telecom services more accessible and affordable in underserved rural, remote, and urban areas.
According to government data, the fund had a balance of Rs 79,638 crore at the end of the fiscal year on March 31, 2024.
Previously known as the Universal Services Obligation Fund (USOF), which was dedicated to supporting network rollouts in rural and remote areas, the fund has now been rebranded as Digital Bharat Nidhi.
It will address new areas requiring support in the evolving technological landscape.
"The USOF, created under the Indian Telegraph Act, 1885, has now been rechristened as Digital Bharat Nidhi. It now addresses new areas which may require support from Digital Bharat Nidhi in changing technological times," the statement said.
Under the Telecommunications Act 2023, the fund's scope has expanded to support innovation, research and development, commercialisation of indigenous technologies, and the establishment of relevant national standards.
This includes promoting these standards at international levels, encouraging start-ups, and fostering sustainable and green technologies within the telecommunications sector.
Telecom Minister Jyotiraditya Scindia emphasised the significance of these changes in a social media post, stating: "Marching towards building a digitally connected Bharat and an #Atmanirbhar telecom sector, DoT_India is proud to share that the first rules of The Telecom Act 2023, 'Digital Bharat Nidhi,' are now in effect.
This reflects our commitment to ensure equal access to telecom services and, in turn, strengthen India's mission of becoming Viksit Bharat @ 2047."
Projects funded under the Digital Bharat Nidhi for establishing, operating, maintaining, or expanding telecommunication networks must share and provide these networks and services on an open and non-discriminatory basis.