The Centre on Monday unveiled the National Monetisation Pipeline (NMP) 2.0, setting an ambitious target of Rs 16.7 lakh crore for public-sector asset recycling between FY26 and FY30—about 67% higher than the initial estimate of Rs 10 lakh crore in projected upfront revenues and private investment.
The second phase builds on the first monetisation programme, which achieved 89% of its Rs 6 lakh crore target by mobilising about Rs 5.3 lakh crore across sectors such as mining, highways, coal, petroleum, and ports.
According to the official framework, NMP 2.0 aims to unlock value across 12 sectors, with highways, multi-modal logistics parks, and ropeways expected to contribute the largest share at Rs 4.42 lakh crore, or 26% of the total pipeline.
Railways and ports will each account for about 16%, power for 17%, and coal assets for roughly 13%, while sectors such as telecom, tourism, and warehousing will make up relatively small shares.
The monetisation value includes two components: revenue flows to government entities from concession or lease structures, and private capital expenditure committed under public-private partnership (PPP) projects.
The rollout is phased over five years, with annual targets rising steadily from about Rs 2 lakh crore in FY26 to Rs 3.81 lakh crore in FY30.
What do cashflow projections indicate?
Cash-flow projections suggest that during FY26–FY30, about Rs 4.61 lakh crore could accrue to the Consolidated Fund of India, roughly Rs 4.19 lakh crore may come as direct private investment, Rs 1.63 lakh crore to the public sector and port authorities and Rs 38,418 crore to state governments.
Another about Rs 5.9 lakh crore is expected beyond FY31 as long-term concession payments continue.
What did Nirmala Sitharaman say?
Unveiling NMP 2.0, finance minister Nirmala Sitharaman said that the NMP is aligned with the mission of achieving Viksit Bharat through accelerated infrastructure development and that the monetisation pipeline has the potential to fuel India’s growth momentum.
Highlighting the significance of asset monetisation, Sitharaman said NMP enables recycling of productive public assets, thereby unlocking resources for reinvestment in new projects and capital expenditure. She noted that this approach facilitates efficient mobilisation of funds for CAPEX in public assets while minimising budgetary outgo of the Government.
Asset monetisation is a strategy to recycle capital locked in brownfield infrastructure into new projects without increasing fiscal pressure.
The second phase of the pipeline has been developed by NITI Aayog, in consultation with infrastructure line ministries, based on the mandate for ‘Asset Monetisation Plan 2025-30’ as announced in the Union Budget 2025-26.