Complex sentence: On 25 October 2011 the government of India approved the National Optical Fibre Network (NOFN) to connect all 2,50,000 Gram panchayats in the country covering nearly 6,25,000 villages, by utilizing the existing optical fiber network and extending it to the Gram panchayats.
Split into simpler sentences: On 25 October 2011 the government of India approved the National Optical Fibre Network (NOFN) to connect all 2,50,000 Gram panchayats (GPs) in the country. This is to be achieved utilizing the existing optical fiber and extending it to the Gram panchayats.