The government has spent Rs. 6 lakh crore worth of assets to be sold

The decision to raise financial resources to meet the economic situation

The government will raise money by selling passenger trains, stadiums, railway stations, railway colonies and airports.

In the current year, Rs. 1.75 lakh crore asset sales planned

Will raise the most funds through railways, roads and electricity

New Delhi: The Center plans to raise Rs 6 lakh crore through asset monetization in the next four years. Asset monetization is to be done to reduce the government budget deficit and increase financial resources.

The plan includes selling stakes in road and railway assets, airports, power transmission lines, and gas pipelines. Finance Minister Nirmala Sitharaman is scheduled to provide her roadmap on Monday. The stake will be sold under PM Modi's strategic disinvestment policy.

Under the plan, the state will retain only a few identified areas and privatize the rest. The government will not completely sell any assets here, but will ensure that it is put to good use.

Thus the ownership of the asset will remain with the government. The whole exercise will try to get more and more value. The government is expected to raise Rs 1.75 lakh crore under the Asset Monetization Plan by the financial year ending March 2022.

This asset sale plan will offset the decline on the tax front due to Corona. This year's comprehensive disinvestment proposal includes the sale of companies like BPCL and Air India along with the public issue of Life Insurance Corporation of India (LIC). Sitharaman is expected to announce plans for monetization of 11 state-owned infrastructure assets.

1.6 lakh crore will be achieved by monetizing 26,700 km of national highways and new roads. For this, NHAI will adopt the Invit (Infrastructure Investment Trust) route.

1.5 lakh crore is expected to be obtained by monetizing the railways. An estimated Rs 1.2 lakh crore will be raised by monetizing 400 railway stations, 90 passenger trains, 741 km of Konkan Railways and 15 railway stadiums and colonies.

One lakh crore is expected to be raised through power sector assets. It will raise Rs 45,200 crore by monetizing power transmission and Rs 39,832 crore by monetizing six gigawatts of power generation assets.

59,000 crore will be obtained through the gas pipeline. The 8,154 km natural gas pipeline is expected to fetch Rs 24,462 crore and the 3,930 km product pipeline Rs 22,504 crore.

40,000 crore is expected to be raised through telecommunication assets. It will monetize 2.86 lakh km of BharatNet fiber and get Rs 35,100 crore. 14,917 crore for BSNL and MTNL's signal tower.

29,000-29000 crore will be raised through public warehouses and coal mines. 20,782 crore will be raised through airport monetization and 12,828 crore through ports. Another Rs 1 lakh crore is expected to be raised through civil aviation and port infrastructure, sports stadiums and mining assets, he said.

In addition, Rs 11,450 crore will be raised through the Jawaharlal Nehru Stadium in New Delhi and regional centers. The announcement of a medium term roadmap to Finance Minister Nirmala Sitaram during her annual budget speech will serve as a roadmap for the government's asset cell initiative.

Less used assets will be monetized and the assets will be owned by the government. He said Brownfield Assets would be monetized under the National Monetization Pipeline with private sector participation. Private partnerships will have to return the property to the government after the stipulated time.

The money raised through monetization will be used for infrastructure building. The value of the assets thus sold will be 5.4 per cent of the total investment of Rs 111 lakh crore under NIP and 14 per cent of the Centre's proposed expenditure of Rs 43 lakh crore. However, this Rs 6 lakh crore monetization plan is based on the fact that the first Rs 10,000 crore assets are easily monetized.

Asset Monetization: 26 States Appoint Nodal Officers

Most states are willing to raise money by selling properties

For asset monetization, the states have to pay Rs. 5000 crore aid announcement

New Delhi: Most states are ready to raise money through asset monetization, says Amitabh Kant, CEO of the Policy Commission. For this, 26 States and Union Territories have appointed nodal officers.

Sitaram said the Center has announced financial assistance of Rs 5,000 crore for the states to participate in the process. If the states disinvest and monetize their assets, they will be given this financial assistance as an interest free loan. "We are with the states," said Kant, CEO of the policy commission. We want the states to work together.

Union ministers just need to take the initiative. The second wave of Corona has slowed down the process of asset monetization but now the government will work with the states to speed up the process. Kant further said that we have organized webinars in the states in this regard. Leading investors from around the world have shown interest in the project.