Centre sets up National Land Monetisation Corporation
Real Estate

Centre sets up National Land Monetisation Corporation

As per the Economic survey, on Monday, the government has formed a National Land Monetisation Corporation (NLMC) to expedite the monetisation of land and non-core assets of public sector entities.

Yet, Central Public Sector Enterprises (CPSEs) have referred 3,400 acres of land and other non-core assets for monetisation from CPSEs comprising Bharat Sanchar Nigam Limited (BSNL), Mahanagar Telephone Nigam Limited (MTNL), B&R, Bharat Petroleum Corporation Limited (BPCL), BEML Limited, HMT Ltd, Instrumentation Ltd.

Since, the expected skill set to take on the responsibility of management and monetisation of non-core assets in government is limited, Finance Minister Nirmala Sitharaman in 2021-22 Budget had declared establishing a Special Purpose Vehicle (SPV), with capacity and expertise, to conduct the monetisation of the land and other non-core assets efficiently and prudently, in line with international best practices.

In pursuance of the Budget announcement, National Land Monetisation Corporation (NLMC) is being included as a 100% Government of India owned entity with an initial authorised share capital of Rs 5,000 crore and subscribed share capital of Rs 150 crore.

Concerning the government's asset monetisation drive, the Survey said there is an aggregate monetisation potential of Rs 6 lakh crore via core assets of the central government over four years from 2021-22 to 2024-25.The leading five sectors comprising railways, roads, power, oil and gas pipelines and telecom estimate for approximately 83% of the aggregate value.

CPSEs have referred 3,400 acres of land and other non-core assets for monetisation, as per the survey. The New Public Sector Enterprise Policy and Asset Monetisation Strategy presented by the government reaffirm its commitment towards privatisation and strategic disinvestment. While the monetisation of core assets is headed by NITI Aayog, the initiative for monetisation of non-core assets has been hitherto driven by the Department of Investment and Public Asset Management (DIPAM). The monetisation of non-core assets envisages unlocking the value of these thus far unused or under-utilised assets and producing returns on the equity that the Government has funded in them.

Image Source

Also read: Nirmala Sitharaman launches National Monetisation Pipeline

As per the Economic survey, on Monday, the government has formed a National Land Monetisation Corporation (NLMC) to expedite the monetisation of land and non-core assets of public sector entities. Yet, Central Public Sector Enterprises (CPSEs) have referred 3,400 acres of land and other non-core assets for monetisation from CPSEs comprising Bharat Sanchar Nigam Limited (BSNL), Mahanagar Telephone Nigam Limited (MTNL), B&R, Bharat Petroleum Corporation Limited (BPCL), BEML Limited, HMT Ltd, Instrumentation Ltd. Since, the expected skill set to take on the responsibility of management and monetisation of non-core assets in government is limited, Finance Minister Nirmala Sitharaman in 2021-22 Budget had declared establishing a Special Purpose Vehicle (SPV), with capacity and expertise, to conduct the monetisation of the land and other non-core assets efficiently and prudently, in line with international best practices. In pursuance of the Budget announcement, National Land Monetisation Corporation (NLMC) is being included as a 100% Government of India owned entity with an initial authorised share capital of Rs 5,000 crore and subscribed share capital of Rs 150 crore. Concerning the government's asset monetisation drive, the Survey said there is an aggregate monetisation potential of Rs 6 lakh crore via core assets of the central government over four years from 2021-22 to 2024-25.The leading five sectors comprising railways, roads, power, oil and gas pipelines and telecom estimate for approximately 83% of the aggregate value. CPSEs have referred 3,400 acres of land and other non-core assets for monetisation, as per the survey. The New Public Sector Enterprise Policy and Asset Monetisation Strategy presented by the government reaffirm its commitment towards privatisation and strategic disinvestment. While the monetisation of core assets is headed by NITI Aayog, the initiative for monetisation of non-core assets has been hitherto driven by the Department of Investment and Public Asset Management (DIPAM). The monetisation of non-core assets envisages unlocking the value of these thus far unused or under-utilised assets and producing returns on the equity that the Government has funded in them. Image Source Also read: Nirmala Sitharaman launches National Monetisation Pipeline

Next Story
Infrastructure Urban

Reliance, Diehl Advance Pact for Precision-Guided Munitions

Diehl Defence CEO Helmut Rauch and Reliance Group’s Founder Chairman Anil D. Ambani have held discussions to advance their ongoing strategic partnership focused on Guided and Terminally Guided Munitions (TGM), under a cooperation agreement originally signed in 2019.This collaboration underscores Diehl Defence’s long-term commitment to the Indian market and its support for the Indian Government’s Make in India initiative. The partnership’s current emphasis is on the urgent supply of the Vulcano 155mm Precision Guided Munition system to the Indian Armed Forces.Simultaneously, the “Vulc..

Next Story
Infrastructure Urban

Modis Navnirman to Migrate to Main Board, Merge Subsidiary

Modis Navnirman Limited has announced that its Board of Directors has approved a key strategic initiative involving migration from the BSE SME platform to the Main Board of both BSE and NSE, alongside a merger with its wholly owned subsidiary, Shree Modis Navnirman Private Limited.The move to the main boards marks a major milestone in the company’s growth trajectory, reflecting its consistent financial performance, robust corporate governance, and long-term commitment to value creation. This transition will grant the company access to a broader investor base, improve market participation, en..

Next Story
Infrastructure Urban

Global Capital Flows Remain Subdued, EMEA Leads in Q1 2025

The Bharat InvITs Association’s industry update for Q1 2025 shows subdued global capital flows, with investment volumes remaining at the lower end of the five-year range despite a late 2024 recovery. According to data from Colliers and MSCI Real Capital Analytics, activity in North America declined slightly, while EMEA maintained steady levels and emerged as the top region for investment in standing assets.The EMEA region now hosts seven of the top ten cross-border capital destinations for standing assets, pushing the United States’ share of global activity below 15 per cent. Meanwhile, in..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?