New Delhi, Sep 16 - State-run telecom operator Bharat Sanchar Nigam Ltd (BSNL) and software solutions provider HCL Infosystems Wednesday signed an agreement to work together on the National Broadband Penetration Programme (NBPP), a nationwide initiative to accelerate spread of information technology in rural India.

In order to implement the project, BSNL will leverage the Universal Service Obligation Fund (USOF) set up by the Department of Telecommunications (DoT), which has granted subsidy to the state-owned company for providing broadband services in rural areas at cheaper rates.

USOF will provide a subsidy of Rs.4,500 per broadband connection that BSNL will roll out through its 27,789 rural and remote telephone exchanges.