Asset Monetization Program of the Government aims at unlocking the value of non-core assets (largely land, buildings, and other immovable properties) across India, which may be in surplus, un-used, or under-used with no clear and present plan for optimal use in the near future. The monetization of these assets will enable productive and optimum utilization of assets through development of industrial, commercial, tourism, infrastructure projects on these under-utilized assets and thereby generating financial resources for delivering economic and social programs and contribute to Atmanirbhar Bharat.
The Hon'ble Finance Minister in her Budget speech, 2021 has announced setting up of a Special Purpose Vehicle (SPV), with capacity and expertise, to carry out the monetization of the land and other non-core assets in an efficient and prudent manner, in line with international best practices. The Finance Minister had stated:
"Idle assets will not contribute to AtmaNirbhar Bharat. The non-core assets largely consist of surplus land with government Ministries/Departments and Public Sector Enterprises. Monetizing of land can either be by way of direct sale or concession or by similar means. This requires special abilities and for this purpose, I propose to use a Special Purpose Vehicle in the form of a company that would carry out this activity."
Accordingly, National Land Monetization Corporation (NLMC), as a 100% GoI-owned company, has been incorporated on 03.06.2022 under the administrative control of the Department of Public Enterprises, Ministry of Finance to carry out the monetization of non-core assets of CPSEs as well as other Government agencies.
NLMC will speed up the closure of loss-making CPSEs and smoothen the strategic disinvestment process. NLMC will act as an advisory body and support other Government entities and CPSEs in monetizing their non-core assets in an efficient and professional manner, maximizing their value realization.