Finance Minister announces pipeline to monetize assets of Rs 6 Lakh Crore, according to projects identified in all sectors


New Delhi: Union Finance Minister Nirmala Sitharaman on Monday announced a Rs 6 lakh crore National Monetization Pipeline (NMP) that will seek to unlock value in infrastructure assets in sectors ranging from electricity to the road and railways. She also said that asset monetization does not involve the sale of land and is about monetizing brownfield assets. Projects have been identified in all sectors, with roads, railways and electricity being the main segments.Also Read – Almost 6 Crore Of Active EPF Members To Get 8.5% Interest Soon | A step-by-step guide to checking your balance

“The NMP estimates the overall monetization potential of Rs 6 lakh crores through core central government assets over the four-year period from FY2022 to FY2025,” she said. “Ownership of the assets will remain with the government and there will be a mandatory handover.” Monetizing assets will unlock resources and lead to unlocking value, she said. Read also – Increased cost allowance to 31 percent for central government employees as of this date

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The Union budget 2021-2022 identified the monetization of operating public infrastructure assets as a key means for the sustainable financing of infrastructure. To this end, the budget provided for the preparation of a “national monetization pipeline” of potential brownfield infrastructure assets. NITI Aayog, in consultation with the line ministries infra, prepared the report on the NPM. The pipeline of aggregated assets under the NMP over the four-year period (fiscal year 2022-25) is estimated for guidance at Rs 6 lakh crore. The estimated value corresponds to 14% of the proposed expenditure for the center under the national infrastructure pipeline (Rs 43 lakh crore).

The ultimate goal of this initiative is to enable “infrastructure creation through monetization” in which the public and private sectors collaborate, each excelling in their core areas of expertise, in order to deliver socio-economic growth and quality. of life to the country’s citizens, the FM added.

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