Topic: Investment models.
4. Infrastructure is critically linked to growth and economic performance. Critically analyse the role of National Monetisation Pipeline (NMP) as a pioneering initiative of value creation in Infrastructure. (250 words)
Difficulty level: Moderate
Reference: Insights on India
Why the question:
The question is part of the static syllabus of General studies paper – 3.
Directive word:
Critically analyze –
When asked to analyse, you must examine methodically the structure or nature of the topic by separating it into component parts and present them in a summary. When ‘critically’ is suffixed or prefixed to a directive, one needs to look at the good and bad of the topic and give a balanced judgment on the topic.
Structure of the answer:
Introduction:
Begin by writing about National Monetisation Pipeline (NMP) its aims and objectives.
Body:
In the first part, write about the various features of National Monetisation Pipeline (NMP).
Next, write about the potential benefits that the government will accrue from the NMP – revenue, improve on efficiency of use of assets, addition of gross savings in the economy etc.
Write about the potential challenges to the newly proposed NMP. Lack of identifiable revenues streams in various assets, absence of dispute resolution mechanism etc.
Conclusion:
Conclude by writing a way forward.
