Cities & infrastructure shortfall

India is facing fast-paced urbanization that is a challenge and opportunity both; but how it will turn out will depend on how well we manage our cities. This will require massive investment in urban infrastructure to create better mobility and access to better services for businesses and industries to prosper. An overview of present state of affairs, initiatives and future requirements


Budget 2017-18

♦♦ Total allocation for PMAY – Urban increased from Rs 5075 cr in 2016-17 (BE) to Rs 6043 cr in 2017-18 (BE).
♦♦ The expenditure by Ministry of Housing and Urban Poverty Alleviation (MoHUPA) in 2015-16 was only Rs 1761 cr against the budget allocation of Rs 5635 cr.
♦♦ Total allocation for MRTS and Metro projects is Rs 18,000 cr out of the total Ministry of Urban Development budget of Rs. 34,212 cr.

Infrastructural Impediments


cities and towns of different population sizes make up India’s urban system


million is the expected increase in India’s urban population between 2015 and 2030

1.2 trillion

USD investment required for urban infrastructure in India over a period of 20 years as per McKinsey Global Institute Report

$1 tr

per annum is the current infrastructure investment gap against an annual global investment demand of $3.7tr as per World Economic Forum estimates

rating given by the American Society of Civil Engineers to US infrastructure systems. USA would have to invest $3.6 trillion by 2020 to rank up its scorecard

41 trillion USD

is required to restore old infrastructural systems and build new ones in existing and upcoming cities between 2005 and 2030

India’s steps towards a developed nation

Allotted (2017-18)

Total Allocation


454 cr

500 cr

12 Cities

4091 cr

50,000 cr

500 Cities

3205 cr

54,500 cr

109 Cities

Focuses on revitalizing twelve heritage cities via development of sanitation facilities, public transportation and parking,citizen services and information kiosks. The scheme will seek to strengthen the tourism and heritage industry.

Strives to build infrastructure that will ensure adequate robust sewerage, transportation facilities, industrial facilities and water supply for urban transformation. AMRUT will work closely with ULBs to ensure the above criteria.

Seeks to build state of the art cities that will seek to improve quality of life by using urban informatics and technology to improve efficiency of services and meet resident’s needs.




Source: World Bank,Ministry of Urban Development, McKinsey Global Institute, American Society of Civil Engineers