Transforming India’s Urban Landscape: Key Focus Areas for a Smarter, Sustainable Future
As India’s urban landscape evolves, there is a pressing need to integrate AI in urban planning to tackle critical challenges like housing, transportation, and utility management. Unifying private and government service providers under regulatory frameworks can drive sustainable urban development.
Additionally, with climate-resilient cities facing climate change-driven disasters and pollution impacting vulnerable populations, immediate funding for short-term mitigation measures is crucial, especially as economic support at lower levels has stagnated.
In-Situ Urbanisation
A strategic focus on in-situ urbanisation is essential. Rather than solely concentrating on developing new cities or developer-led projects, resources should be directed towards urbanising rural areas and transforming them into key urban nodes. This approach aligns with the government’s goals to prepare for the projected surge in the urban population in India, which is expected to reach 600 million by 2030. Urbanisation occurs in diverse ways—through real estate development in peri-urban areas, migration, and expanding mobility corridors like highways, airports, and ports. While private finance and PPP models attract global capital for accelerated development, they often benefit higher-income groups. Government policies must strike a balance to ensure inclusivity while maintaining capital inflows.
UIDF and Smart Cities Mission
The UIDF funding India, established under the National Housing Bank, aims to address urban development policies in tier 2 and tier 3 cities, with an annual target outlay of Rs. 10,000 crores. This fund must integrate with state-level programs to avoid stimulating real estate development that benefits a select few. The Smart Cities Mission, extended until 2025, will continue to receive allocations as it has proven effective in managing urban services and citizen needs.
Affordable Housing & Rental Policies
Further allocations to PMAY (Pradhan Mantri Awas Yojana), with additional incentives and tax exemptions, are necessary to make affordable housing in India more accessible. Additionally, rental housing is becoming an increasingly important need in urban areas. The government’s Rental Housing Policy should be significantly boosted to address this demand, and the sector could be given “industry” status to streamline approvals and boost growth.
Urban Mobility & Sustainability
Cleaner public transport systems are integral to urban India’s future. A robust budget allocation for developing sustainable urban mobility solutions and focusing on waste management solutions, water availability, and renewable energy is essential. This will help incorporate environmental sustainability into urban development policies, fostering smarter, greener cities.
Disaster Management & Resilience
Given the climate crisis, disaster management in India remains a priority. Strengthening resilience in urban infrastructure is vital, and dedicated funding for identifying vulnerabilities and financing solutions is necessary to safeguard cities and their populations.
Tourism & Healthcare
India’s booming tourism and healthcare sectors, exemplified by the growth of religious tourism in places like Ayodhya, require special focus. While acknowledging their economic potential, preserving traditional networks and knowledge systems as these industries expand is equally important.
Focussing on these key areas can transform India’s urbanisation journey, setting the stage for a smarter, more sustainable, and inclusive urban future.
