HomeMarket NewsIndia unveils ₹16.72 lakh crore Asset Monetisation Pipeline 2.0; PSU stake sales, IPOs from FY27
The government launches Asset Monetisation Pipeline 2.0, aiming to raise ₹16.72 lakh crore through PSU equity sales, including GAIL Gas and Coal India.
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The government has proposed disinvestment and equity sales by public sector undertakings (PSUs) as part of its new ₹16.72 lakh crore Asset Monetisation Pipeline 2.0, with stake sales in subsidiaries between FY27 and FY30.
Under the plan, CPSEs will monetise assets primarily through dilution of equity in subsidiaries and joint ventures. The proceeds from these disinvestments will be retained by the respective PSUs as monetised value.
A key proposal involves stake sales by Gail India in its city gas distribution (CGD) companies, followed by the listing of GAIL Gas. The government expects a GAIL Gas IPO in FY28,
with the company likely to raise around ₹3,100 crore.
Coal India is also expected to partially dilute its holdings in subsidiaries, with a target of ₹48,350 crore through equity sale between FY27-FY30.
In the power sector, step-down subsidiaries of CPSEs are also proposed to undergo equity dilution, with a cumulative target of ₹31,000 crore via IPOs and FPOs by 2030.
The Airports Authority of India too will divest stake in one of its subsidiaries and four joint ventures, aiming to raise ₹12,550 crore through IPOs, FPOs and private placements.
Separately, redevelopment plans have been proposed for Hotel Ashok and Hotel Samrat. Redevelopment of Hotel Ashok is slated to begin in FY27, while Hotel Samrat is scheduled for FY30. The combined monetisation value of the two properties has been pegged at Rs 1,200 crore.
Sector-wise NMP 2.0 Monetisation targets (FY26–FY30, ₹ crore):
| Sector | Total Monetisation Value (TMV) | % of Total |
| Highways, MMLPs, Ropeways | 4,42,000 | 26% |
| Railways | 2,62,300 | 16% |
| Power | 2,76,500 | 17% |
| Petroleum & Natural Gas | 16,300 | 1% |
| Civil Aviation | 27,500 | 2% |
| Ports | 2,63,700 | 16% |
| Warehousing & Storage | 10,000 | 1% |
| Urban Infrastructure | 52,000 | 3% |
| Coal | 2,16,000 | 13% |
| Mines | 1,00,000 | 6% |
| Telecom | 4,800 | 0.30% |
| Tourism | 1,200 | 0.10% |
| Total | 16,72,300 | 100% |
(Source: PIB)
The government also said the largest portion of monetisation proceeds will accrue to the Consolidated Fund of India (43%), followed by direct private investment (39%), PSU or Port Authority allocation (15%), and the State Consolidated Fund (4%).
In her address at the launch, FM Nirmala Sitharaman complimented all ministries, departments, and NITI Aayog for meeting nearly 90% of the Rs 6 lakh crore target under NMP 1.0 over four years. She said NMP 2.0 builds on this experience and aligns with the Viksit Bharat mission by mobilising resources for infrastructure while optimising government expenditure.
Monetisation will use instruments such as public-private partnership concessions, infrastructure investment trusts (InvITs), IPOs, FPOs, and private placements. Proceeds will accrue to PSUs, the Consolidated Fund, state governments, or private investors depending on the transaction.
Sector-wise, highways, ports, and power are expected to contribute the largest share, followed by railways, coal, and urban infrastructure. Monetisation values range from ₹1,200 crore in tourism to ₹4.42 lakh crore in highways, MMLPs, and ropeways.
First Published:
Feb 24, 2026 9:46 AM
IST
