InvestorQ : Can you tell me about the National Monetization Pipeline announced by the finance minister on 23rd August?
Dilmini Mercia made post

Can you tell me about the National Monetization Pipeline announced by the finance minister on 23rd August?

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Dawn Cherian answered.
4 months ago
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In fact, this national monetization pipeline was announced by the finance minister in the Union Budget on 01 February this year. On 23rd August, the finance minister announced the finer aspects with the rollout plan for the National Monetisation Pipeline or NMP. Under this plan, key state owned assets like roads, railways and power sector will be monetized. That means, these assets will not be divested but right of use will be transferred.

As per the plan till 2025 laid out by the government the total monetization is expected to be worth a whopping Rs.600,000 crore of which Rs.88,200 crore of monetization is scheduled to happen in the current fiscal year of FY22 itself. Overall, the National Monetization Pipeline will cover 20 asset classes of the government. In all cases, monetization will pertain to brownfield projects with established revenue models and established regular cash flows.

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