Indian Railways Aims for ₹2.5 Trillion in Asset Monetisation in 5 Years Under NMP 2.0

The Indian Railways is preparing for its largest private-investment initiative yet, as the Ministry of Railways plans to monetise assets worth ₹2.5 trillion over the next 5 years, as per Business Standard reports.  

This will be a major component of the 2nd phase of the National Monetisation Pipeline (NMP 2.0), which has a planned size of ₹10 trillion and is expected to serve as the central monetisation strategy till FY30. The government is now moving toward a more asset-led partnership model to improve both efficiency and capacity. 

Key Development: NMP 2.0 Strategy 

According to officials, the Railways aims to achieve this target using public-private partnership (PPP) models and a multi-asset approach. The plan includes monetising Gati Shakti Cargo Terminals, introducing privately funded freight trains, and redeveloping stations through commercial projects in major cities such as Vijayawada, Kolkata and Delhi.  

As per the news reports, the initial target of ₹1.7 trillion by FY30 was later revised to ₹2.5 trillion — a substantial 50% increase. The overall NMP 2.0 framework is currently in its preparatory stage and will be revealed soon. 

Industry Participation & Previous Plans 

The Railways had drawn considerable interest from major private players such as Adani Railways, Godrej Properties, GMR Highways and Oberoi Realty for station redevelopment projects under the earlier monetisation pipeline. However, several tenders had to be cancelled following the closure of a special-purpose vehicle.  

The earlier NMP target for the ministry was ₹1.52 trillion by FY25, later revised to ₹1 trillion. Officials have also discussed the proposal to monetise the ₹1.24 trillion eastern and western Dedicated Freight Corridors, though no official proposal has been confirmed so far. 

Read More: Indian Railway’s Freight Crosses 1 Billion Tonne Mark: Coal Sector Lead the Momentum! 

Conclusion 

The proposed asset monetisation plan represents a major shift in how the railways intend to leverage existing infrastructure. If executed efficiently, it could boost freight capacity, enhance station development, and bring stronger private participation across the network. With NMP 2.0 set to be unveiled soon, the momentum around PPP projects may accelerate significantly, making it a key initiative to watch in India’s infrastructure growth plan. 

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