Union Cabinet nod for new firm to monetise land assets

admin March 10, 2022
Updated 2022/03/17 at 1:57 PM

On Wednesday, the Union Cabinet authorised the formation of a new government-owned corporation to aggregate and monetise sovereign and public-sector landholdings.

The National Land Monetisation Corporation (NLMC) would be established with a paid-up capital of Rs. 150 crores and initial authorised share capital of Rs. 5,000 crore.

The government will engage private-sector experts and nominate a chairman to lead the NLMC via a “merit-based selection process.”

Surplus land and building assets of central public sector enterprises (CPSEs) and government agencies will be monetised by the NLMC.

According to an official announcement, “the government would be able to collect substantial funds by monetising unused and under-used assets.”

The initiative is in accordance with the Budget proposals for 2021-22, which featured an ambitious National Monetisation Pipeline to raise funds from public assets.

The new business will also assist in the monetisation of assets belonging to public-sector companies that have closed or are in the process of being sold strategically.

Source: The Hindu

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