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In this paper, the effect of holding time awareness on the process of time slot assignment in WDM-TDM is considered. Use has been made of Markov model in order to predict the wavelength congestion. A routing algorithm is developed based on the Markov modeling. The results are compared with existing algorithms--ASP, WSP and OTGA. Validation results have shown that the performance of the system is significantly improved in terms of bandwidth blocking ratio, network utilization and fairness.