Rapid Fire
National Monetisation Pipeline 2.0
- 24 Feb 2026
- 3 min read
The Union Minister for Finance and Corporate Affairs launched the National Monetisation Pipeline 2.0 (NMP 2.0), developed by NITI Aayog to operationalise the Asset Monetisation Plan 2025–30, as announced in the Union Budget 2025–26.
- NMP Success: The launch noted that NMP 1.0 successfully met nearly 90% of its Rs 6 lakh crore target, providing a baseline of "best practices" for the second phase.
- NMP 2.0: The Union Budget 2025–26 proposed NMP 2.0 to expand sustainable infrastructure financing through monetisation of operational public assets.
- It provides a medium-term roadmap, asset visibility for private investors, and a guidance framework outlining methodology and implementation.
- NMP 2.0 focuses on "Asset Recycling," where private sector efficiency is leveraged to unlock capital from brownfield assets for reinvestment in new infrastructure (CAPEX) without increasing the government's budgetary outgo.
- Participating Sectors: The pipeline covers key sectors, including Roads, Railways, Power, Oil & Gas, Civil Aviation, Ports, Telecom, Coal, and Mines.
- Governance Framework: Progress will be monitored by the Core Group of Secretaries on Asset Monetisation (CGAM), chaired by the Cabinet Secretary, ensuring a "whole of government" approach.
- Revenue Allocation: Proceeds from asset monetisation projects are allocated to different heads based on the implementing agency, including the Consolidated Fund of India (for Ministry-led projects), PSU/Port Authorities (for entity-led projects), and the State Consolidated Fund (primarily from mining royalties).
- A separate head records direct private investment in monetisation projects involving construction or major maintenance components.
- NMP 2.0 Award Targets: The pipeline estimates an aggregate potential of Rs 16.72 lakh crore, including private sector investment of Rs 5.8 lakh crore, which is 2.6 times higher than NMP 1.0.
- Monetisation Instruments: Transactions will involve Public-Private Partnership (PPP) concessions, Infrastructure Investment Trusts (InvITs), and securitization of cash flows.
- Economic Vision: Aligned with Viksit Bharat, the project aims to optimize resources and provide a clear roadmap to private investors for long-term participation in India's growth.
| Read more: National Monetisation Pipeline |
