NEW DELHI: With the Centre facing a significant resource crunch following a series of emergency measures to shield the economy from the West Asia crisis, the government has activated plans to mobilise additional revenue, official sources said on Tuesday. The measures include aggressively pursuing asset and land monetisation while also stepping up efforts to raise funds through disinvestment.
Sources said senior government officials are holding weekly meetings with the Department of Investment and Public Asset Management (DIPAM) and the Department of Public Enterprises (DPE) to explore more avenues for resource mobilisation. The government hopes DIPAM would exceed the Budget target of Rs 80,000 crore from disinvestment in FY27.
One official said the proposed strategic sale of IDBI Bank, which had been put on hold due to valuation concerns and lack of investor interest, may be revived.
The government has set a target of Rs 10 lakh crore in asset monetisation during the five-year period from FY26 to FY30 under the National Monetisation Pipeline (NMP) 2.0. Under NMP 1.0, it achieved nearly 90% of its Rs 6 lakh crore target.
At the same time, the Centre is accelerating the monetisation of idle and non-core public assets through the National Land Monetisation Corporation (NLMC). According to the DPE, approvals were received during FY26 for monetisation of assets valued around Rs 10,048 crore.
The government’s fiscal burden has risen following support measures announced in recent weeks. It has created a Rs 1 lakh crore Economic Stabilisation Fund to build fiscal buffers and respond to emergencies. Of this, Rs 10,000 crore has been allocated for oil marketing firms to stabilise aviation turbine fuel prices.
The government has also launched a fresh Emergency Credit Line Guarantee Scheme with an outlay of Rs 18,000 crore to support MSMEs and the aviation sector.
