Union Minister for Finance and Corporate Affairs launches National Monetisation Pipeline 2.0 (NMP 2.0) with ₹16.72 lakh crore target

Key facts

• Union Minister for Finance and Corporate Affairs Nirmala Sitharaman launched the National Monetisation Pipeline 2.0 (NMP 2.0), projecting proceeds of ₹16.72 lakh crore over five years starting April 2025.
• Developed by Niti Aayog, the second phase is based on the Asset Monetisation Plan 2025-30 mandate announced in the Union Budget 2025-26.
• The first phase, NMP 1.0, achieved 89% of its ₹6 lakh crore target during the four-year period from 2021-22 to 2024-25.
• The total monetisation potential of ₹16.72 lakh crore includes private investments estimated at ₹5.8 lakh crore.
• The transport sector is expected to raise ₹4.42 lakh crore through the monetisation of 21,300 kilometres of highways, 15 Multi-Modal Logistics Parks (MMLPs), and six ropeways.
• Estimated sectoral values include Power (₹2.77 lakh crore), Ports (₹2.64 lakh crore), Railways (₹2.62 lakh crore), Coal (₹2.16 lakh crore), and Mines (₹1 lakh crore).
• Other sector targets include Urban Infrastructure (₹52,000 crore), Civil Aviation (₹27,500 crore), Petroleum and Natural Gas (₹16,300 crore), Warehousing and Storage (₹10,000 crore), Telecom (₹4,800 crore), and Tourism (₹1,200 crore).
• Specific projects include listing a minority stake in GAIL Gas and the divestment of Airports Authority of India (AAI) holdings in one subsidiary and four joint-venture airports.
• The pipeline involves auctioning approximately 94 coal mines and leasing 38 land parcels of Bharat Sanchar Nigam Limited (BSNL) on a long-term basis.
• Public-Private Partnerships (PPPs) will serve as a key mode of monetisation to attract private investment and reduce public debt through capital recycling.
• The largest portion of proceeds under NMP 2.0 is expected to accrue to the Consolidated Fund of India.