New Delhi, March 31 -- The government's fresh equity-for-debt in Vodafone Idea is expected to provide the telecom operator with a Rs.40,000 crore cash flow relief over the next three years and reduce the operator's net debt by 18%, analysts said, adding that concerns over the company's survival remain.

This is because, with the government converting spectrum dues worth Rs.36,950 crore, the telecom operator would now have to pay a total of over 66% less in statutory dues over the next three years after the expiry of the current moratorium later this year. However, analysts said the company must meet a yearly Rs.43,000 crore payment obligation (spectrum and adjusted gross revenue dues) to the government over FY28-31.

Without equity conver...