Economics • Indian EconomyMedium
What is the main objective of the 'National Monetisation Pipeline (NMP)' in India?
A. To unlock value from brownfield public sector infrastructure assets by engaging private sector participation.✓ Correct Answer
B. To privatize all profitable Navratna public sector enterprises completely.
C. To convert all physical currency notes into central bank digital currency.
D. To monetize sovereign gold reserves held by temples and individuals.
💡 Solution & Explanation
The National Monetisation Pipeline seeks to unlock capital from underutilized brownfield public infrastructure assets by leasing them to private sector partners while retaining ultimate government ownership. This strategy avoids outright privatization of public sector enterprises and instead channels private capital into creating new greenfield assets. Monetization proceeds help bridge infrastructure financing gaps without imposing undue fiscal burdens on the exchequer.
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