The National Monetisation Pipeline (NMP) is a leasing programme, not a sale, where the government retains ownership of assets like roads, railways, and power lines while transferring operation and maintenance rights to private players for 20–30 years. 

• Developed by NITI Aayog in consultation with infrastructure ministries, it aims to unlock the value of brownfield public assets by leveraging institutional and long-term capital, with proceeds reinvested in new (greenfield) infrastructure. 
• To streamline the process, monetisation of non-core assets is being shifted from DIPAM to the Department of Public Enterprises (DPE) under the Ministry of Finance.

Launch of NMP 2.0

NMP 2.0 has an estimated monetisation potential of ₹16.72 lakh crore—around 2.6 times the target of NMP 1.0. Of this, the government expects to directly mobilise nearly ₹10 lakh crore, with the remaining amount coming from private capital investments in the monetised assets.

Sector-wise Targets & Key Features of NMP 2.0

• Highways (26%): Leasing toll roads under the Toll-Operate-Transfer (TOT) model.
• Power (17%): Transmission lines via InvITs and operational hydro/thermal plants.
• Ports (16%): Monetisation of berths and terminal operations.
• Railways (16%): Station redevelopment, private train operations, freight corridors.
• Coal (13%): Mine Developer and Operator (MDO) model to improve production efficiency.

Diversification into New Areas

Includes Natural Resources (≈19%), Urban Infrastructure (≈3%), ropeways, Multi-Modal Logistics Parks(MMLPs), tourism assets, hydel assets, and small but symbolic sectors like Tourism (0.1%) and Telecom (0.3%).

New Feature in NMP 2.0

• Public Proceeds: ₹10.92 lakh crore (government revenue).
• Private Investment: ₹5.8 lakh crore (mandatory capex by private players).

NMP 2.0 clearly emphasizes “crowding-in” private capital alongside revenue generation.

Significance

• Resource Mobilisation: Unlocks value of brownfield public assets to generate funds for new infrastructure.
• Fiscal Prudence: Reduces pressure on fiscal deficit by funding capital expenditure through asset leasing.
• Private Sector Efficiency: Brings operational efficiency, innovation, and better asset management.
• Investment Opportunities: Attracts long-term institutional investors like pension and sovereign funds.
• Cooperative Federalism: ₹5,000 crore incentive encourages states to adopt monetisation reforms.
• PPP Promotion: Strengthens Public-Private Partnerships while retaining government ownership.
• Integration: Aligns with PM Gati Shakti for integrated infrastructure growth.