New Delhi, India — Finance Minister Nirmala Sitharaman has launched the National Monetisation Pipeline 2.0 (NMP 2.0) — a major policy initiative to unlock value from India’s public infrastructure assets and attract investments worth ₹16.72 lakh crore over five years (FY 2026–2030). The National Monetisation Pipeline 2.0 initiative aims to accelerate infrastructure financing, fuel economic growth, and provide a clear roadmap for public asset monetisation in line with the Asset Monetisation Plan 2025-30 announced in the Union Budget 2025-26.
This second phase builds upon the success of NMP 1.0, where around 90% of the ₹6 lakh crore target was achieved, highlighting increased effectiveness and commitment towards monetisation as a key tool for infrastructure development.
What is National Monetisation Pipeline 2.0?
The National Monetisation Pipeline 2.0 is a strategic policy framework developed by NITI Aayog, in consultation with infrastructure ministries, to identify and monetise core public infrastructure assets while retaining ownership with the Government. It is intended to attract private investment for public infrastructure through lease models, PPPs, asset rentals, and other instruments.
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This approach recycles productive public assets into avenues for new infrastructure spending, reducing the fiscal burden on the Government while supporting long-term growth.
Key Objectives Under National Monetisation Pipeline 2.0
Aggregate Monetisation Potential:
- Target: ₹16.72 lakh crore over FY 2026-30
- Includes estimated ₹5.8 lakh crore in private investment.
Sectors Covered
The pipeline spans 12 key infrastructure sectors, including:
- Highways, railways, power, civil aviation
- Ports and waterways, telecom, urban infrastructure
- Petroleum & natural gas, mining, coal, tourism, and more.
An empowered Core Group of Secretaries on Asset Monetisation (CGAM) will monitor progress to ensure seamless implementation.
What is the Importance of National Monetisation Pipeline 2.0
Boosting Infrastructure Financing: NMP 2.0 is designed to expand on the gains of the first pipeline by unlocking more value from public assets and driving higher private sector participation. This will enable increased capital expenditure (CAPEX) without burdening government budgets.
Learning from NMP 1.0: The experience from the first phase (FY 2022-25) — where most targets were met — is being used to streamline processes and improve monetisation outcomes.
Alignment with ‘Viksit Bharat’: According to the Finance Minister, the pipeline supports the Viksit Bharat vision by fast-tracking infrastructure development and strengthening economic momentum.
How Monetisation Works
Under NMP 2.0, the Government retains ownership of assets while enabling private entities to operate or invest in them under defined contracts.
This can take several forms:
- Lease contracts for a fixed period
- PPP concessions
- Strategic sales of minority stakes
- Securitisation of future cash flows
The proceeds are then recycled into building new infrastructure projects or funding public services.
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