The total cost of a home setup is as follows:
1. Installation Charges: Rupees 3000. Includes Fiber Optic Cable upto 100 feet. They will charge more if more cable is required. The distance is from the nearest point they can pull a cable to your home.
2. ONT: (Optical Network Terminal). This is a little white box that makes the magic happen. The upfront cost is 26,000. But you can purchase it for 1000 per month for a total of 26months (no interest on installments). I think this is tied to askari bank only and you must always have a balance that is greater than 26,000 during the pay back period, but i am not too sure about this. Also included in this cost is a UPS for ONT which is capable of powering up the router as well.
3. Router: Any router would work barring some older models. To be honest Nayatel does charge a fair bit premium over market rates. I asked them what router they use and bought one off the market (this was in feb 2008). Say you want a Dlink 618. IIRC the price is around ~4200 (netpaq in blue area seems to have the best prices)
Thus the minimum amount you would need to start off with is:
Installation (3000) +ONT Cost (1000) +Router (4200) = 8200
You would need to payback 1000 per month for the next 25 months which will be included in the billed amount.
Hope this helps