Lagatar24 Desk
New Delhi, Mar 9: The Union Cabinet approved the establishment of a National Land Monetisation Corp (NLMC) on Wednesday to monetize surplus land and buildings of Public Sector Units (PSUs) that are being sold off or are on the verge of liquidation, as well as government agencies.
According to an official announcement, NLMC would be established as a wholly-owned Government of India corporation with an initial authorised share capital of 5,000 crore and a paid-up share capital of 150 crore.
“NLMC will undertake monetisation of surplus land and building assets of Central Public Sector Enterprises (CPSEs) and other government agencies,” it said.
The government would create significant cash by monetising underused and under-used assets through the monetisation of non-core assets.
“At present, CPSEs hold considerable surplus, unused and under-used non-core assets in the nature of land and buildings.
“For CPSEs undergoing strategic disinvestment or closure, monetisation of these surplus land and non-core assets is important to unlock their value. NLMC will support and undertake monetisation of these assets,” the statement said.
This will also allow for the productive use of these underutilised assets, resulting in private sector investments in new economic activities, as well as the generation of financial resources for economic and social infrastructure.
