India Brand Equity Foundation (IBEF)Mar 31ASSET MONETISATION: UNLOCKING CAPITAL FOR INFRASTRUCTURE DEVELOPMENTIntroductionThe Government of India's objective of making India a US$ 5 trillion-dollar economy by 2025 and the need to strengthen the economy in the aftermath of the Covid-19 outbreak, has made a large-scale and rapid investment in infrastructure significant to support economic growth. In the Union Budget 2021-22, monetization of assets has been highlighted as one of the three pillars for improved and sustainable infrastructure funding in the country. The government intends to encourage private sector investment and utilise its efficiency, as well as raise revenue through the monetisation of newly built brownfield assets. Additionally, the government argues that asset monetisation is the best alternative strategy given the scenario of constrained fiscal resources and the rising cost of welfare spending in the post-pandemic period. In FY19–20, the Government of India began a ground-breaking, cross-government operation “The National Infrastructure Pipeline (NIP)” which plans to invest US$ 1,346.18 billion (Rs. 111 lakh crores) in infrastructure during a five-year period from FY20 to FY25.Read More At IBEF
IntroductionThe Government of India's objective of making India a US$ 5 trillion-dollar economy by 2025 and the need to strengthen the economy in the aftermath of the Covid-19 outbreak, has made a large-scale and rapid investment in infrastructure significant to support economic growth. In the Union Budget 2021-22, monetization of assets has been highlighted as one of the three pillars for improved and sustainable infrastructure funding in the country. The government intends to encourage private sector investment and utilise its efficiency, as well as raise revenue through the monetisation of newly built brownfield assets. Additionally, the government argues that asset monetisation is the best alternative strategy given the scenario of constrained fiscal resources and the rising cost of welfare spending in the post-pandemic period. In FY19–20, the Government of India began a ground-breaking, cross-government operation “The National Infrastructure Pipeline (NIP)” which plans to invest US$ 1,346.18 billion (Rs. 111 lakh crores) in infrastructure during a five-year period from FY20 to FY25.Read More At IBEF
