Context:

• Union Finance Minister Nirmala Sitharaman launched the ‘National Monetisation Pipeline 2.0’ (NMP 2.0) for Central Ministries and Public Sector Undertakings (PSUs).

Key Features:

• Announcement: In the Union Budget 2025-26
• Duration: Financial Year 2025-26 to 2029-30 (5 years)
• Asset Monetisation Target: ₹16.72 lakh crore, nearly 2.6 times higher than NMP 1.0 (₹6 lakh crore)
• Private Investment: Expected to attract approximately ₹5.8 lakh crore
• Monitoring Mechanism: By the Core Group of Secretaries on Asset Monetisation (CGAM) under the chairmanship of the Cabinet Secretary
• A structured Five-Step Approach has been adopted to assess asset value and potential.
• Any government revenue (e.g., revenue share, premium, lease rent, royalty) generated from monetisation projects implemented by Central Ministries will be deposited into the Consolidated Fund of India.

Major Sectors and Allocation:

• Roads & Highways: Largest share (26%) including highways, Multi-Modal Logistics Parks (MMLP), and ropeways. Target: ₹4.42 lakh crore.
• Power Sector: ₹2.76 lakh crore (17%) through transmission and generation assets.
• Ports: Monetisation target of ₹2.63 lakh crore (16%).
• Railways: ₹2.62 lakh crore (16%) from railway stations, private trains, and other rail assets.
• Coal: ₹2.16 lakh crore (13%) through coal mine auctions and monetisation.
• Mines: ₹1 lakh crore (6%) allocated.
• Urban Infrastructure: Target of ₹52,000 crore (3%).
• Civil Aviation: ₹27,500 crore from airport monetisation.

Other Sectors:

• Petroleum & Natural Gas: ₹16,300 crore
• Warehousing: ₹10,000 crore
• Telecom: ₹4,800 crore
• Tourism: ₹1,200 crore

National Monetisation Pipeline 1.0:

• Launch: August 2021
• Main Objective: Unlock value from existing core infrastructure assets of the Central Government
• Time Period: FY 2022 to FY 2025 (4 years)
• Total Target: ₹6 lakh crore
• Achievement: Around 89–90% of the ₹6 lakh crore target (approximately ₹5.3 lakh crore) achieved over four years.