Nirmala Sitaraman Unveiled The National Monetization Pipeline for Rs. Six Lakh Crore

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New Delhi: Union Finance Minister Nirmala Sitaraman on Monday unveiled the six lakh crore National Monetization pipeline. In her address on launching the National Monetization pipeline she said the government will only monetize under-utilized assets and the ownership will remain with the centre.

She said the “National Monetisation Pipeline about brown field assets where investment is already being made, where there are assets either languishing or not fully monetised or under-utilised, Nirmala Sitharaman emphasized. The brown field assets will be monetisatised by bringing in private participation.

The private participants will have to hand over the assets to the government after a pre-determined period of time. The money obtained through the monetization exercise will be channelized into infrastructure building. She pointed out that the entire exercise “will generate greater value and unlock resources for economy.”  Infra assets worth Rs. Six lakh crore will be monetized across the rail, road and power sectors over 4 years and “projects have been identified to monetize the assets” NITI Aayog CEO Amitabh Kant highlighted.

The government will monetize assets worth Rs 1.6 lakh crore from the roads sector, Rs. 1.5 lakh crore from the railway sector and Rs. 79,000 crore from the power sector, Kant said. The centre will also monetize Rs. 20,800 crore from airports, Rs. 13,000 crore from ports, Rs. 35,000 crore from telecom, Rs. 11,500 crore from stadiums and Rs. 45,200 crore from power transmission sectors. Most of the asset monetization will take place either through the InvIT mode or public-private partnerships.

The Niti Aayog Vice Chairman Rajiv Kumar said. The government is committed to involve the private sector and private capital to develop infrastructure, Infrastructure has huge multiplier effects and the monetization pipeline is the next step in mobilizing private capital for the development of infrastructure, Kumar added.

The ministries of roads, transport & highways, railways, power, pipeline & natural gas, civil aviation, shipping ports & waterways, telecommunications, food & public distribution, mining, coal, housing and urban affairs will be a part of the National Monetization Pipeline, the Finance Ministry elaborated.

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