Q. Consider the following statements regarding “National Monetisation Pipeline (NMP)”:
1.It is based on the principle of asset creation through monetization.
2.The estimated aggregate monetisation potential under NMP is ₹6.0 lakh crore.
Which of the statements given above is/are correct?

[A] 1 only

[B] 2 only

[C] Both 1 and 2

[D] Neither 1 nor 2

Answer: C
Notes:

Explanation: The National Monetisation Pipeline (NMP), was thus announced on 23 August 2021. Based on the principle of ‘asset creation through monetisation’, it taps private sector investment for new infrastructure creation.

  • The NMP provides an opportunity for deleveraging balance sheets and providing fiscal space for investment in new infrastructure assets.
  • The estimated aggregate monetisation potential under NMP is ₹6.0 lakh crore through core assets of the Central Government, over a four-year period, from FY20-25.

Source: Economic Survey 2023

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