UPSC Prelims Practice Questions — Union Finance Minister Smt. Nirmala Sitharaman launches National Monetisation Pipeline 2.0 (NMP 2.0)
Q1. With reference to the National Monetisation Pipeline 2.0 (NMP 2.0) launched in 2026, consider the following:
1. It estimates an aggregate monetisation potential of about ₹16.72 lakh crore.
2. It covers the five-year period from FY 2026 to FY 2030.
3. Its targeted private-sector investment component is about ₹5.8 lakh crore.
4. It was developed by the Department of Investment and Public Asset Management (DIPAM).
Which of the above is/are correctly identified?
- It estimates an aggregate monetisation potential of about ₹16.72 lakh crore.
- It covers the five-year period from FY 2026 to FY 2030.
- Its targeted private-sector investment component is about ₹5.8 lakh crore.
- It was developed by the Department of Investment and Public Asset Management (DIPAM).
- A. 1 and 2 only
- B. 1, 2 and 3 only
- C. 2, 3 and 4 only
- D. 1, 2, 3 and 4
Q2. Consider the following statements comparing NMP 2.0 with NMP 1.0:
1. NMP 2.0's aggregate potential of about ₹16.72 lakh crore exceeds NMP 1.0's four-year target of ₹6 lakh crore.
2. NMP 2.0 spans five financial years (FY 2026–FY 2030), whereas NMP 1.0 spanned four years.
3. Both NMP 1.0 and NMP 2.0 fixed a private-sector investment target of ₹5.8 lakh crore.
Which of the statements given above is/are correct?
- NMP 2.0's aggregate potential of about ₹16.72 lakh crore exceeds NMP 1.0's four-year target of ₹6 lakh crore.
- NMP 2.0 spans five financial years (FY 2026–FY 2030), whereas NMP 1.0 spanned four years.
- Both NMP 1.0 and NMP 2.0 fixed a private-sector investment target of ₹5.8 lakh crore.
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q3. In the context of the National Monetisation Pipeline, 'monetisation of brownfield assets' refers to which one of the following?
- A. Leasing or granting operating/concession rights over existing, already-built and revenue-generating public infrastructure to private investors for a fixed period, while ownership is retained by the Government
- B. Outright sale of the Government's equity stake in public sector enterprises to strategic buyers
- C. Construction of entirely new (greenfield) infrastructure projects funded wholly by private capital
- D. Permanent transfer of the ownership title of public land parcels to private developers
Q4. Which one of the following is the primary objective of asset monetisation under the NMP, distinguishing it from disinvestment?
- A. Unlocking the value of underutilised brownfield public assets to fund new infrastructure, without transferring ownership of the assets
- B. Raising resources by selling the Government's shareholding in profit-making public sector undertakings
- C. Reducing the total number of central public sector enterprises in strategic sectors
- D. Privatising loss-making public enterprises through strategic sale to private investors
Q5. The National Monetisation Pipeline 2.0 (NMP 2.0) covers how many sectors of infrastructure?
Q6. Under the National Monetisation Pipeline, which one of the following sectors has accounted for the largest share of the monetisation value?
- A. Roads / Highways
- B. Telecom
- C. Tourism
- D. Mines
Q7. Under NMP 2.0, the term 'MMLP', listed within the highways segment, refers to which one of the following?
- A. Multi-Modal Logistics Park
- B. Major Maritime Logistics Port
- C. Metropolitan Mass Land Programme
- D. Multi-Modal Land Pooling
Q8. With reference to NITI Aayog, which developed NMP 2.0, consider the following statements:
1. It was established on 1 January 2015.
2. It replaced the erstwhile Planning Commission.
3. The Prime Minister serves as its ex-officio Chairperson.
4. It is a statutory body established under a specific Act of Parliament.
Which of the statements given above is/are NOT correct?
- It was established on 1 January 2015.
- It replaced the erstwhile Planning Commission.
- The Prime Minister serves as its ex-officio Chairperson.
- It is a statutory body established under a specific Act of Parliament.
- A. 1 and 2
- B. 4 only
- C. 3 and 4
- D. 2 and 3
Q9. Consider the following statements about the Asset Monetisation Plan 2025-30:
1. It was announced in the Union Budget 2025-26, building on the first asset monetisation plan announced in 2021.
2. It aims to plough back about ₹10 lakh crore of capital into new projects.
3. It was announced by the Prime Minister rather than the Union Finance Minister.
Which of the statements given above is/are correct?
- It was announced in the Union Budget 2025-26, building on the first asset monetisation plan announced in 2021.
- It aims to plough back about ₹10 lakh crore of capital into new projects.
- It was announced by the Prime Minister rather than the Union Finance Minister.
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q10. Consider the following statements about InvITs and REITs used as monetisation instruments:
1. Both InvITs and REITs are regulated by the Securities and Exchange Board of India (SEBI).
2. InvITs are registered under the SEBI (Infrastructure Investment Trusts) Regulations, 2014.
3. Under the InvIT/monetisation route, ownership title of the underlying assets is permanently transferred to the unitholders.
Which of the statements given above is/are correct?
- Both InvITs and REITs are regulated by the Securities and Exchange Board of India (SEBI).
- InvITs are registered under the SEBI (Infrastructure Investment Trusts) Regulations, 2014.
- Under the InvIT/monetisation route, ownership title of the underlying assets is permanently transferred to the unitholders.
- A. 1 and 2 only
- B. 1 and 3 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q11. The Raajmarg Infra Investment Trust (RIIT), a public InvIT set up to monetise highway assets as part of the infrastructure-financing push for Viksit Bharat, is sponsored by which one of the following?
- A. National Highways Authority of India (Ministry of Road Transport & Highways)
- B. National Highways & Infrastructure Development Corporation Limited (NHIDCL)
- C. IRCON International Limited
- D. Department of Investment and Public Asset Management (DIPAM)