Q. Consider the following statements regarding National Monetisation Pipeline:
1. One of its objectives is to unlock the value of investments in brownfield public sector assets by tapping institutional and long-term capital.
2. The top three sectors identified for asset monetisation include railways, airports and coal mining.
Which of the above statements is/are correct?
Both statements are correct
About National Monetisation Pipeline:
Prepared by: It was prepared by NITI Aayog in consultation with infrastructure line ministries, based on the mandate for ‘Asset Monetisation’ under Union Budget 2021-22.
Note: Asset monetisation consists of a limited period transfer of performing assets (or disposing of non-strategic / underperforming assets) to unlock “idle” capital and reinvesting it in other assets or projects that deliver improved or additional benefits.
- To unlock the value of investments in brownfield public sector assets by tapping institutional and long-term capital, which can thereafter be leveraged for public investments.
- A brownfield investment is a form of investment in which a company or government entity purchases or leases existing production facilities to launch a new production activity.
- To enable ‘Infrastructure Creation through Monetisation’ wherein the public and private sector collaborate, each excelling in their core areas of competence, so as to deliver socio-economic growth.