Citi has upgraded Vodafone Idea to 'buy' with a target price of ₹13, following a government waiver on bank guarantees for spectrum payments. This relief is expected to enhance the telecom operator's funding prospects and alleviate financial pressure after a significant decline in 2024.

India's private telecom operator Vodafone India Ltd. can reverse 2024 losses if the 74% upside forecast by Citi Research comes into play after it received the much-needed bank guarantee waiver. Shares of the least profitable private telecom player plunged about 65% from its peak in July after India's top court rejected a plea seeking re-computation of average gross revenue by the Department of Telecommunication.

Shares of Vodafone Idea are up 4.3 per cent in past five sessions. For 2024, the stock is down 54.41 per cent. Bank guarantees were emerging as the stumbling block in Vodafone Idea's efforts to raise debt,

Citi said that any progress on Vodafone Idea's debt funding will be a key monitorable going forward and an added trigger for both Vodafone Idea and Indus Towers.