09 - 05 - 2026

Subscriber growth lifts Indian telcos’ credit outlook

Our Bureau
Mumbai, May 9, 2026

India’s telecom sector is expected to maintain a comfortable credit profile as subscriber growth and broadband penetration continue to rise, India Ratings and Research (Ind-Ra) said. 

Further, continued rise in data usage and 5G adoption would support higher realisations for telecom operators. 

“The growing industry subscriber base (both overall and active subscriber base) and consistently increasing data penetration are likely to continue to support revenue and profitability growth for telecom companies (telcos) over the near to medium term,” said Priyanka Bansal, Director, Corporates, Ind-Ra. 

The total subscriber base increased to 1.331 billion in March 2026 from 1.321 billion in February, largely driven by wireless additions. Bharti Limited led with 5.2 million new subscribers, followed by Reliance Jio Infocomm Limited with 3.7 million. Vodafone Idea Limited and Bharat Sanchar Nigam Limited reported negligible growth. 

Subscriber quality also improved, with the visitor location register (VLR) rising to 93.7% in March 2026 from 90.8% two years earlier. The active subscriber base grew by 8 million month-on-month to 1.186 billion, supported by additions at Jio, Airtel and Vodafone Idea, while BSNL saw a decline. 

Broadband penetration rose to 79.5% in March 2026 from 77.6% a year earlier. Within three years of rollout, 5G adoption reached 40.3% of the subscriber base, or 434 million users. Average monthly data usage has surged to between 20GB and 62GB per user, compared with 6GB to 11GB in FY19.