New Delhi, Feb. 3 -- In the Union Budget 2026-27, the Centre has projected earning Rs.1.4 trillion from the telecom sector in 2025-26, about 71% more than its previous estimate.

At first glance, that sounds like a big win. Some of this money does come from real payments, such as licence fees and spectrum auctions, paid by private telecom companies. But a large chunk comes from state-owned BSNL, which is dependent on the government for its survival.

Only this "income" isn't real cash changing hands, but merely a bookkeeping exercise.

Mint examines the government's telecom receipts, the role of BSNL, and how much of these earnings are driven by cash flows rather than accounting entries.

In every budget, the government projects certain r...