Centre launches National Monetisation Pipeline 2.0 with Rs 10 lakh crore target for FY26-30
The Centre on Monday launched the second phase of the National Monetisation Pipeline (NMP 2.0), setting a Rs 10 lakh crore asset monetisation target for the five-year period from FY2025–26 to FY2029–30, as announced in the Union Budget 2025–26.
For FY2025–26, the government expects monetisation of around Rs 2 lakh crore, with annual values rising progressively in subsequent years.
Under NMP 2.0, 12 sectors have been identified for monetisation. In terms of total monetisation value, highways, multi-modal logistics parks (MMLPs) and ropeways account for the largest share at Rs 4.42 lakh crore, or 26% of the total pipeline. The power sector follows with Rs 2.76 lakh crore (17%), while railways and ports are projected to contribute Rs 2.62 lakh crore and Rs 2.63 lakh crore respectively, each accounting for about 16%. Coal assets are estimated to generate Rs 2.16 lakh crore, and mines around Rs 1 lakh crore over the five-year period. Other sectors covered include civil aviation, petroleum and natural gas, warehousing and storage, urban real estate, telecom, and tourism.
While the headline monetisation target is Rs 10 lakh crore, the detailed framework projects a broader Total Monetisation Value (TMV) of Rs 16.72 lakh crore during the same period. The higher TMV includes not only proceeds accruing to government entities but also private sector capital investment mobilised through public-private partnership (PPP) projects.
NMP 2.0 builds on the first phase of the programme, which had set a Rs 6 lakh crore target for FY22–FY25. The government achieved about 89% of that goal, mobilising Rs 5.3 lakh crore over four years. Coal emerged as the standout performer, exceeding its target by a wide margin, while sectors such as highways, petroleum and natural gas, ports and urban infrastructure recorded strong progress. However, railways, telecom, warehousing and civil aviation saw relatively lower achievement levels.
Officials said the first phase helped streamline monetisation efforts across ministries, attract global and domestic pension and sovereign wealth funds into infrastructure assets, and foster specialised asset management and operations capabilities.
The government has adopted a refined methodology under NMP 2.0 to calculate the Total Monetisation Value. This comprises two components — revenue share or upfront proceeds flowing to government entities, and private sector capital expenditure in PPP projects, net of government support. Officials said the approach captures both direct fiscal inflows and the savings to the exchequer from leveraging private investment instead of budgetary resources.
Proceeds from monetisation transactions will accrue under different heads depending on the structure of the deal, including the Consolidated Fund of India, state consolidated funds, allocations to public sector undertakings and port authorities, as well as direct private investment.
The Centre reiterated that asset monetisation does not amount to privatisation or a sale of ownership. Instead, it involves leasing out brownfield public assets for a defined concession period to unlock value and redeploy capital into new infrastructure creation. With NMP 2.0, the government aims to institutionalise asset recycling as a core infrastructure financing strategy while sustaining high public capital expenditure to support growth amid global economic uncertainty.